Ban China movement and how can India make full use of it?
India has been under tense situation since last week over the clashes along the LAC in Ladakh. The situation has been tensed since then and it led to an anti-China movement in the nation since then. There have been news reports where people can be seen throwing their expensive Chinese electronic products down their balconies or people coming together with their Chinese goods to bash them and break them and sloganeering against China raising ban China slogans.
Investments out of China
Amidst all this chaos there is something which needs to be looked into in detail. That is the industry investment situation going out of China. After the Corona outbreak which has grappled the world the world has been skeptical of China for handling the outbreak and many other factors. Big multinational companies which were based in China have now started to move their plants out of China. Considering the biggest economy in Asia ranked after China, these investments should ideally have been come into India. Sadly, that’s not the situation though, these companies are moving their plants from outside China to other South and South East Asian countries like Vietnam, Cambodia, Laos, Indonesia, Thailand, Bangladesh.
Shifting away from India
A couple of days ago Samsung declared that it is planning to shift much of its display production from China to its plant in Southern Vietnam this year. Samsung is one of the largest foreign investors in Vietnam, with investments totaling $17Billion. There have been various other big players in the market like Samsung which have decided to move out of China but not in India. Right now hence the nation needs to focus on how can it increase the foreign investments coming out of China to attract them in the country because if you really want to hurt China or Ban China, no better way than to drain them of their foreign investments and bring them all to India.