A view of the Mumbai Coastal Road project is seen in Mumbai, India, on April 3, 2024.
India is likely to ease restrictions on Chinese investment in non-sensitive sectors like solar panels and battery manufacturing where New Delhi lacks expertise and which hinders domestic manufacturing, two government sources said.
The government plans to free up sectors to Chinese investment that it deems less sensitive from a security point of view, said one of the officials, who did not want to named.
The plans mark a first step in improving economic ties between the two neighbors, a relationship that worsened after clashes in the remote Himalayan border in 2020, after which India tightened scrutiny on investments from Chinese companies.
The non-critical sectors "would be decided on a case-to-case basis," the second official said, but curbs on Chinese investments in electronics and telecom would continue.
Locations:
Mumbai, India, Delhi