October 17, 2019

‘China warns India of reverse sanctions if Huawei is blocked’

New Delhi: According to people familiar with the matter, China has told India not to stop its Huawei technology from doing business in China and warned that it can have an impact on Indian companies operating in China.

Telecommunications Minister Ravi Shankar Prasad said that India will try to install the next-generation 5G cellular network in the coming months, but has not yet received a conference call, will invite the manufacture of equipment from China Telecom. Business Participation

Huawei is the world’s largest manufacturer of such equipment and is at the center of the geopolitical tug of war between China and the United States. The government of the president of the United States, Donald Trump, blacklisted the company in May for national security reasons. He has asked his allies not to use Huawei equipment, and it is said that China can use Huawei equipment for espionage.

Two sources within New Delhi said that the Indian ambassador to China, Vikram Misri, called the Chinese Foreign Ministry on July 10 to hear China’s concerns about US activities to exclude Huawei from global mobile infrastructure 5G

During the meeting, Chinese officials said that if India blocked Huawei due to pressure from Washington, it could impose “reverse sanctions” on Indian companies doing business in China. A source said the ambassador’s meeting had been read.

In response to Reuters, China’s Foreign Ministry said that Beijing expects India to make an independent decision on 5G bidders.

A Chinese spokesman abroad said in a statement: “Huawei has been doing business in India for a long time, contributing to the development of Indian society and the economy that everyone understands.”

“Regarding the issue of Chinese companies involved in the construction of 5G in India, we hope that the Indian side will make an independent and objective decision to provide a fair, fair and non-discriminatory business environment for the investment and operation of companies. Chinese, and achieve mutual benefits and win-win. The Ministry of Foreign Affairs of India has not responded. ” Request for comment.

Compared to other important economies, Indian companies have a much smaller scale in China. But companies like Infosys, TCS, Dr. Reddy’s Laboratories Reliance Industries and Mahindra & Mahindra have a foothold in manufacturing, medical care, financial services and outsourcing.

A possible controversy over Huawei can revitalize tensions in the broader relationship between India and China, just as the two sides have been working hard to ensure that their long-standing territorial disputes do not intensify.

Major right-wing groups associated with the Modi ruling coalition have long criticized Huawei, which distrusted China and promoted economic self-sufficiency.

In a letter to Modi last week, Ashwani Mahajan, head of the economic department of the Indian nationalist Rashtriya Swayamsevak Sangh, said there were concerns about Huawei’s operations in India.

“As a country, we are not sure if we depend on Huawei. Globally, Chinese companies, including Huawei, face accusations of their” low price “projects, positioning themselves and their institutions at home and allowing them to shut down remotely , if necessary, “he wrote.

Minister Prasad told parliament that the six proposals have received 5G technical evidence, including from Huawei. He did not name other people, but companies such as Sweden’s Ericsson Nokia and South Korean Samsung Electronics are expected to participate.

A team of senior officials led by Dr. K Vijay Raghavan, Chief Scientific Advisor to the Government of India, including representatives of telecommunications, information technology and intelligence, has been studying whether to open the Huawei 5G trial.

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