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The world Wants to teach China a lesson

The world wants to teach China a lesson

The world will teach China a lesson, India is showing the ‘road to the future’
The way many countries of the world are exploring their industrial future in India today, it seems that India is on the path of attaining the position of Vishwa Guru again.
The Corona epidemic has engulfed the entire world. This is a challenging time for India too, but an opportunity is also hidden in this challenge. It is an opportunity to withdraw the status of global manufacturing hub from China. Experts believe that when the corona epidemic comes under control, it will leave many opportunities for the Indian economy. Because among the international companies that are currently in China, the thought of leaving from China is becoming stronger. Many countries like Japan, America and South Korea, which are highly dependent on China, want to get out of China and are turning to India.

India is leading the world
India is leading the world

1000 companies are planning to come to India
According to reports, about one thousand international companies currently working in China are now planning to make India their new destination. Nearly three hundred companies have also made complete preparations to set up their factory in India and negotiations with the Government of India regarding this have gone ahead. These include mainly companies with sectors such as mobile phones, electronics, medical equipment, textiles and synthetic fabrics.

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There are several big names in the list of companies wishing to set up a unit in India by incorporating their business from China such as Wistron Corporation, a subsidiary of well-known iPhone phone maker APPLE. Similarly, Pegatron, a Taiwanese company that assembles iPhones, also looks interested. These include two South Korean iron and steel companies – Hyundai Steel and Posco, US-based electronics and technology company Teledyne and its medical equipment and pharmaceuticals Johnson & Johnson.

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South Korea companies are showing the most eagerness to come to India from China, whose applications are coming from their side. Japan has also announced the help of two billion dollars, or about 15 thousand crores rupees, for its companies to set up units and factories in other countries outside China.

The main reason for coming to India
After all, what is special about India that is attracting international companies? One of the major reasons for this is that ..
In September 2019, the Government of India reduced the rate of corporate tax to be levied on the income of companies from 30 per cent to about 25 per cent. With this, the rate of corporate tax was also reduced to 15 per cent for those who set up new factories, which is the lowest in Southeast Asia.

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Obviously, this thing is attracting international companies to India. But these companies, besides India, are also looking at countries like Vietnam, Malaysia, Philippines and Indonesia as an option. Given this, the Indian government is considering accelerating the Make in India policy after the end of the lockdown.
Organizations associated with the industry sector have been asked to contact large companies in countries such as the US and the UK, which are considering setting up manufacturing units in other countries outside of China. Negotiations have already started with about a hundred such companies. Experts believe that after the end of the lockdown, India will emerge as the new manufacturing hub of the world and it will be a big blow for China.
India always works on its ancient doctrine of Vasudib Kutumbakam and India’s foreign policy is regularized by the same principle, so it seems safer for any country to expand business in India.

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