Indian government has asked several Chinese phone makers to furnish compliance reports by Aug. 28, out of fear that Chinese companies might be stealing users’ personal information.
The investigation, which many experts see as the beginning of a trade war between China and India, comes amid a tense two-month-long border standoff. According to The Times of India, the Indian government is particularly concerned about the role of Chinese companies in this “activity.” Chinese mobile phone makers, including Xiaomi, Vivo, Oppo, and Gionee are all caught up in the investigation.
The report also noted that in addition to Chinese companies, Samsung and Apple, as well as several Indian mobile phone brands, have also received the same notice.
Many experts believe that the move aims to make a dent in Chinese mobile phone makers’ advantages in the Indian market, as Chinese products are quite popular in India due to their technological advantages and relatively cheaper price. According to a study conducted by India Ratings and Research in June, Chinese mobile phone manufacturers’ market share in India was about 51 percent in the first quarter of the year. Indian consumers have also shown preference for Chinese goods over Indian ones, with 83 percent feeling that Chinese goods are a better value and of better quality, reported Hindustan Times in August.
“China has been a major target of India’s anti-dumping investigations. As the two nations are now experiencing a standoff, the [new investigation] might be a governmental measure to cater for anti-China sentiment in India,” Lan Jianxue, a former Chinese diplomat to India, was quoted as saying by haiwainet.cn.
According to China’s Ministry of Commerce, India has initiated 12 investigations during the January-June period in 2017, more than any other nation.
