India looks for trade talks with Taiwan

China hawks gaining ground in Indian government: Bloomberg

India reportedly considering trade talks with Taiwan. (Taiwan News image)

India reportedly considering trade talks with Taiwan. (Taiwan News image)

TAIPEI (Taiwan News) — India is considering opening trade talks with Taiwan as both countries bristle over China’s aggression, Bloomberg reported Monday (Oct. 19).

While the government of Indian Prime Minister Narendra Modi was initially reluctant to respond to Taipei's requests to discuss a trade agreement, China hawks have been on the rise in the South Asian country, and they see Taiwan as a source of investment in technology sectors.

New Delhi recently approved investment plans by Taiwan's Foxconn Technology Group, Pegatron Corp., and Wistron Corp. that would ramp up smartphone production in India, one of Taiwan’s New Southbound Policy partners.

Neither governments' trade officials have been willing to comment on plans for a trade accord, though the Bloomberg report said it would be a major win for Taiwan due to China’s attempts to sabotage its foreign relations.

India and Taiwan signed an updated investment agreement in 2018, with bilateral trade growing by 18 percent the following year, according to the report.

Interest in Taiwan in India has been growing due to China's actions against both. Armed clashes took place in June between Indian and Chinese soldiers in a disputed border area, and the Chinese embassy recently enraged Indians by telling their media how to report on Taiwan’s Double Ten national holiday.

Updated : 2020-12-04 04:30 GMT+08:00