Huawei, Alibaba, PUBG Owners Tencent Have Deep Links With Chinese Army; Govt Can Take Action
After banning 59 Chinese app last month, there can be more trouble brewing for the Chinese companies operating in India.
Top 7 Chinese companies are being ‘suspected’ by Indian Govt, since they have deep links with the Chinese army.
And as per reports coming in, strict action can be taken against them.
Which are these 7 companies?
These 7 Chinese Companies Have Deep Links With Chinese Army
7 Chinese companies are being suspected and under radar for having deep links with the Chinese army.
Huawei, Alibaba, Tencent, Xindia Steels, Xinxing Cathay international, China electronic technology group and SAIC motor corporation.
Ren Zhengfei, who is the founder of Huawei was the head of Chinese Army’s engineering corps, and this was one of the reasons why their company faced a ban in the US.
Huawei alone generated more than Rs 12,000 crore of business in India last year.
Besides, Huawei is facing the heat for their 5G business in countries like UK, Japan and Australia.
On the other hand Tencent, Alibaba and Baidu was part of Chinese Govt AI team.
Nanjing Automobile, which is a subsidiary of SAIC Motor Corporation was earlier part of Chinese Army. They sell MG Hector cars in India.
Some employees of China Electronics Technology Group Corporation (CETC) were convicted for spying for the Chinese military.
There are lots of deep links and connections between these 7 Chinese companies with Chinese Army and Govt, and now they are under the scanner of Indian Govt.
Action Can Be Taken Against These 7 Chinese Firms?
As per reports coming in, action can be taken.
But it’s not clear of the extent of the action, and the timeline.
Now, since there are heavy economic investments done by these companies, Indian Govt will need to think twice before initiating such action.
Alibaba has invested heavily in popular and successful Indian startups such as Paytm, Zomato, Big basket, Xpressbees and Snapdeal.
While PUBG owners Tencent has invested heavily in Ola and Flipkart: While $400 million has been invested in Ola, $700 million of Tencent’s money is invested in Flipkart.
While metal products manufacturing company Xinxing Cathay International Group is operating under a JV with Joint Venture Xindia Steels Ltd, which is an Indian company; SAIC Motor Corporation is a huge automobile company, which sells their popular MG Hector brand cars in India and globally.
Note here, that having connections with Chinese Army and Govt doesn’t prove their involvement in anti-India activities. However, it certainly raises some concerns.
We will keep you updated, as more details come in.