India Encourages Electronics Collaboration with Chinese Firms

India is open to collaborating with Chinese electronics firms, recognizing the significant role China plays in global electronics manufacturing. Dixon Technologies has received approval for a joint venture with Chinese company Longcheer, and other partnerships with Chinese firms are being pursued for electronic components manufacturing.

Amid easing tensions, India is signaling openness to collaborations with Chinese firms, particularly in the electronics sector, a government source disclosed on Friday. Recognizing China's dominance, with 60% of electronics manufacturing occurring there, India sees value in partnership rather than isolation.

Clear evidence of this policy is the recent government approval for Dixon Technologies to enter a joint venture with Chinese counterpart Longcheer. This move, officials state, affirms the potential benefits such partnerships may yield for India's electronics industry.

Moreover, Dixon Technologies is pursuing additional agreements for electronic component manufacturing. The company has already struck deals with Chinese firms like Chongqing Yuhai Precision Manufacturing and Kunshan Q Technology's Indian branch, diversifying its partnership portfolio.

(With inputs from agencies.)