In another major decision within a week, the Government of India has decided to ban Chinese companies from participating in Indian highway projects, including the joint venture assignments. Union Minister Nitin Gadkari said on Wednesday said that India will now stop entertaining Chinese investors in various sectors like Micro, Small and Medium Enterprises (MSMEs). ALSO READ | App Ban Not Enough, China Needs To Be Given Befitting Reply, Says Mamata Banerjee


The move comes in the backdrop of border standoff between India and China in the Galwan valley along Line of Actual Control where at least 20 Indian soldiers lost lives. The incident triggered a massive outrage against China, inviting anti-China sentiment and call of boycotting Chinese firms from Indian projects.

As quoted in a report of news agency PTI, the Road Transport, Highways and MSME minister have said that India has taken a firm stand and will not allow Chinese companies, including those through joint ventures.

"We will not give permission to joint ventures that have Chinese partners for road construction. We have taken a firm stand that if they (Chinese companies) come via a joint venture in our country, we will not allow it," Gadkari said on Wednesday amid border standoff with China.

The minister added that soon a policy with several relaxations will be rolled out which will allow Indian companies to expand their eligibility criteria for participation in highway projects. The government will also release decisions regarding current and future tenders while rebidding would be done if there are any Chinese joint ventures, said Gadkari.

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"We have taken a decision to relax norms for our companies to ensure that they qualify in bidding in large projects. I have directed the Highways Secretary (Giridhar Aramane) and NHAI Chairman (SS Sandhu) to hold a meeting for relaxing technical and financial norms so that our companies can qualify to work," he said.

Amid heightened border tensions with China, the government on Monday had banned 59 apps, mostly having Chinese links, citing threats to national security, integrity and sovereignty of India.

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