China investments a worry: SJM



The Swadeshi Jagaran Manch (SJM), an affiliate of the Rashtriya Swayamsewak Sangh (RSS), has written to Prime Minister Narendra Modi cautioning him against awarding government contracts to two Chinese companies and against commerce with that country in the wake of enhanced hostilities.

Convenor of the SJM, Dr Ashwini Mahajan in his letter to the Prime Minister said there were two recent announcements that were particularly “worrisome.”

“Firstly, Chinese company SAIC Motor Corporation Ltd, a joint venture partner of General Motors, is taking over the latter’s India manufacturing plant at Halol in Gujarat. Second, the State-owned China Railway Rolling Stock Corporation (CRRC) has got a go ahead to set up metro rolling stock manufacturing unit in Multi-modal International Cargo Hub and Airport at Nagpur (MIHAN). As Maharashtra government has already placed an order of 69 coaches worth ₹ 851 crores and signed a MOU with this Chinese company to this effect, followed by West Bengal ordering more than 100 coaches for their Kolkata plant to this company. ,” the letter stated.

“Globally, the experience is that Chinese don’t create local employment, but bring their own people, own contractors. There is hardly any incident of technology transfer. Obviously, they would want more capital goods imports, preferably from China. Such a move will only hamper our efforts to slash Chinese imports,” he added.

“In last ten years, China has not registered any drug from Indian manufacturer. Moreover, it is keeping Indian IT companies at bay not only from the government projects, but also from the other Chinese companies,” he further states in his letter.

http://www.thehindu.com/news/national/china-investments-a-worry-sjm/article19272267.ece