China's stronger wall keeping out even advanced Indian partners

Indian firms face significant challenges securing Chinese business visas. Plenty of firms are now relocating crucial executive meetings to other Asian nations.

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• Chinese smartphone brand Realme too is reportedly considering moving its festive trade meet to Thailand from China.
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New Delhi Kolkata: China has tightened issuance of business visas to Indian executives to such an extent that even firms with "advanced partnerships" are facing visa denials, forcing them to shift crucial executive meetings to Singapore, Thailand, Malaysia or Hong Kong, stated senior authorities at a number of affected firms. India Inc's predicament is of significant concern since these visas are for executives, engineers, technical specialists, and sales and management teams engaged in furthering bilateral business.: Indian diaspora in China flags visa, social media reservations at embassy's first Open House in years.

After most of the prospective attendees from India failed to secure visas for more than two months, including some business executives, noted a person familiar with the matter, a leading Chinese smartphone brand had to move a business session with trade partners to Thailand from Shenzhen. Chinese smartphone brand Realme too is reportedly considering moving its festive trade meet to Thailand from China. Not Even for Indian Staff of China Cos An Indian auto parts major, having joint ventures with Chinese firms for technology collaboration, is holding meetings with its Chinese counterparts in Singapore.: US to limit stays of students, journalists Meanwhile, a sizeable homegrown electronics contract manufacturer has additionally moved some meetings to other locations such as Singapore and Hong Kong after its leadership failed to obtain Chinese business visas. "Chinese visa rejection rates have gone up to 95%, " remarked the chief executive of a leading contract electronics manufacturer, requesting anonymity. "Re-applications are not cleared. As for three years through 2025, most such meetings took place either in third countries, or through video-conferencing, as India had restricted the issuance of business visas to Chinese firms, even Indian executives of Chinese firms are not getting visas easily." It's deja vu for domestic businesses. Relations between the neighbours deteriorated after the Galwan valley clash in early 2020, and the subsequent military standoff and tensions on the border. While additionally tightening investment rules for that country's firms under Press Note 3 regulation, which, even now, mandates multi-ministry clearances for any Chinese foreign direct investment, new Delhi, at the time, banned plenty of Chinese apps operating in India. While New Delhi has since relaxed the visa restrictions, the latest steps by Beijing have exacerbated woes for corporates in both countries. Executives remarked they have conveyed their worries to the nodal ministries of heavy industries and electronics & information technology. ET documented earlier this month the difficulty Indian executives are facing in procuring Chinese visas. China has issued regulations on exit and entry administration by State Council Decree no 841, with effect from September 15. It will introduce enhanced compliance requirements, stronger enforcement mechanisms, and greater accountability for applicants, sponsors and immigration intermediaries.

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In short, china' s stronger wall keeping out even advanced Indian partners is the central thread here, and readers can expect follow-up reporting as the picture becomes clearer.