China's Land Grab Is Not Just In Ladakh, It's In Our Economy Too
China has captured 60 sq km of Indian territory but its land grab goes way beyond Ladakh. GoNews’ Editor-in-Chief Pankaj Pachauri analyses how China has been steadily making 'incursions' over the past few years into India's economy, leaving New Delhi with a massive trade deficit and heavily dependent on Chinese investment and products. A situation which burning effigies and smashing Chinese TVs does little to alleviate.
Statistics show that the trade deficit between India and China is steadily increasing. From 2000 to 2005, India imported less than what it exported to China. But with the change of circumstances, there has been a big change in the figures as well. In the year 2020, the trade deficit between India and China increased to $ 54.6 billion.
Not only this, but Chinese companies are also investing heavily in Indian startups. Most of the Chinese companies are in infrastructure, consumer goods, automobile, energy and real estate.
It is estimated that about 800 Chinese companies are operating in India. Chinese investment in Indian companies has increased since PM Modi and Chinese President Xi Jinping. After PM Modi's meeting with the Chinese President in 2014, more than 250 Chinese companies invested in India. This investment was about $ 800 billion.
The result of this is that 75 percent of India's power houses are using Chinese appliances. The Modi government started a mission to promote solar energy, in which more than 80 per cent of Chinese companies have investment.
Four of the top five mobile companies in India are from China with an investment of about $ 7.2 billion. These include Oppo, Vivo and Xiaomi.
Apart from this, there are 18 in India's top 30 unicorns in which Chinese companies are heavily invested. Among them, Chinese company Alibaba has a $500 million investment in Zomato. Also, China has $ 500 million in food delivery app Swiggy, $500 million in Ola, $500 million in Paytm and Paytm Mall.