Sources from both industries stated that India has suspended the approval of the import of Wi-Fi modules from China for several months. This has driven American computer manufacturers Dell and Hewlett-Packard and Chinese companies such as Xiaomi, Oppo, Vivo and Lenovo to postpone their approvals. Launch products in key growth markets. Say.
Sources said that the import of finished electronic devices from China (including Bluetooth speakers, wireless headsets, smart phones, smart watches and laptops) is being delayed.
The source said that the Wireless Planning and Coordination (WPC) Wing of the Ministry of Communications has refused approval since at least November, and they are familiar with the lobbying efforts of companies seeking approval.
A source said that since then, more than 80 such applications from US, Chinese and South Korean companies have been waiting for WPC. The source added that even some applications from Indian companies that import finished products from China are waiting for WPC’s approval.
Dell, HP, Xiaomi, Oppo, vivo and Lenovo did not respond to requests for comment.
The Ministry of Communications also did not respond to a request for comment. Both sources said that the government still needs to respond to the statements of industry lobby groups and individual companies.
Indian Prime Minister Narendra Modi (Narendra Modi) called for the strengthening of economic self-reliance, and India takes a tough stance on Chinese imports.
His nationalist policies have helped promote the growth of smartphone assembly in South Asian countries, and sources believe that the government’s intention is to persuade companies to produce more electronic devices in India.
A source said: “The government’s idea is to push companies to produce these products in India.”
“But technology companies are in trouble. Investing in India will mean high investment and long waiting for returns. On the other hand, the government’s imposing barriers to imports means potential loss of income.”
India previously allowed companies to declare wireless devices on their own, which made it easier to import, but new regulations in March 2019 required companies to seek government approval.
Although India’s market and export potential have made it the world’s second-largest mobile device manufacturer, technical analysts and industry insiders say that there is no company in India that has the scale or scale to make large-scale investments in manufacturing IT products and smart wearable devices. scale.
Be wary of Chinese technology
The long delay in WPC approval also highlights India’s strategy to reduce China’s impact on the technology and economy, especially after the border conflict with Beijing last year, although tensions have eased.
The Modi government this week removed Chinese telecommunications equipment manufacturer Huawei from its list of participants in the 5G trial, although European and South Korean competitors are allowed to join.
According to a previous report by Reuters, once India starts 5G deployment, New Delhi may prevent mobile operators from using Huawei’s telecommunications equipment.
Last year, American companies Apple, Cisco and Dell were caught in tension on the border between India and China because Indian ports banned imports of their products from China.
Another example reported by Reuters at the end of last year was India’s strict control of quality permits for electronic products imported from China, which slowed the import of Apple iPhone models.
Today, the company has obtained security clearance from the Indian Quality Control Agency, and obtaining WPC approval has become a major obstacle to importing electronic equipment from China.
Thomson Reuters 2021 ©