Threat to Indian markets and technology

New Delhi : Chinese President Xi Jinping has proposed the creation of an integrated market and the development of open-source AI platforms during the concluding session of the BRICS summit.

With China set to assume the presidency of the upcoming BRICS summit, it is anticipated that Xi Jinping will attempt to include these issues in next year’s core agenda.

However, Indian policymakers and experts remain highly cautious regarding this initiative by China, and the proposal is unlikely to generate much enthusiasm in India.

BRICS has long refrained from transforming itself into a free trade zone. If markets were to be integrated through tariff reductions, Indian markets would be exposed to Chinese goods and companies without the protection of safeguard measures. This poses a significant risk of harming India’s domestic industries and the development of indigenous technologies.

India has consistently maintained strict oversight on Chinese investments and has refused to relax security regulations, despite pressure from the industrial sector.

Concerns about shielding markets from Chinese products are not limited to India; nations such as Japan, European countries, and the US are also actively working to reduce their dependence on China.

In November 2019, India withdrew from the Regional Comprehensive Economic Partnership (RCEP) agreement due to concerns over Chinese dominance and the potential for a flood of Chinese goods into the Indian market.

Since then, India has shifted its trade policy, signing multiple free trade agreements with Australia, the UAE, the UK, the European Union, and EFTA nations to diversify its sources of imports.

In his five-point action plan, Xi Jinping has proposed promoting China’s Large Language Models (LLMs) and AI technologies. Security experts believe this could be an attempt to infiltrate other countries using Chinese technologies. India has already banned several Chinese apps on security grounds and maintains a strict stance regarding the use of Chinese-made cameras and equipment.

In this context, the proposal involving a Chinese AI platform is being viewed as a major red flag for India.

Report – Abhijit Tushar Bhatt (Political Editor)