Following the recent meeting between Prime Minister Narendra Modi and Chinese President Xi Jinping, Indian and Chinese companies are moving rapidly to finalize joint ventures in electronics and automobiles. Both leaders pledged to strengthen bilateral ties, a development that has significantly boosted business sentiment amid ongoing US tariff pressures.
Haier’s plan to sell 49% of its Indian subsidiary has gained remarkable momentum in the last two days, reviving negotiations with industrialist Sunil Mittal. While Haier retains the majority stake, 2% is earmarked for employees, reflecting growing confidence in the Indian market. Meanwhile, electronics manufacturer Dixon Technologies is preparing to submit its Press Note 3 application for a JV with Chongqing Yuhai to produce precision components, including laptop enclosures. The company is also awaiting approvals for pending ventures with HKC and Vivo, signaling an accelerated push in tech collaborations.
The automotive sector is equally upbeat. Import restrictions on heavy rare earth magnets from China, which had disrupted EV production, particularly at Bajaj Auto, are expected to ease. Ashok Leyland has signed a long-term exclusive partnership with Chinese battery maker CALB Group to develop next-generation batteries for automotive and non-automotive use. Senior executives from Dixon, Bhagwati Products, and PG Electroplast are planning trips to China to finalize deals, reflecting an “upbeat mood” among Chinese investors.
Financial advisory experts note that the thaw has encouraged Chinese technology investors, previously hesitant, to expect faster entry approvals in India. Overall, the developments point to a renewed wave of India-China industrial cooperation, with joint ventures set to expand rapidly across electronics, precision components, and electric vehicle technologies.
