India Considers Phased Easing of China Investment Rules Amid US Tariff Pressure

• India is exploring a limited, phased opening of its economy to China, moving incrementally rather than with a single major decision.
• Any concessions to China will require reciprocal concessions from Beijing, particularly regarding service exports.
• Business visa processes for Chinese nationals have already been eased, and investment restrictions are now under reconsideration.
• The 2020 Press Note-3, which mandated government approval for investments from neighboring countries, may be lifted, as recommended by a NITI Aayog committee.
• The PLI Scheme's success and high industry dependence on Chinese technicians in electronics are driving the need for eased restrictions.

Why It Matters: India is cautiously easing investment and visa rules for China, seeking reciprocity and balancing global trade dynamics.