Since the second half of 2020, India has launched a number of anti-dumping investigations against China, involving a wide range of industries, including chemical products and steel. The o-chloro-p-nitroaniline exported by India has become one of the products that have been affected by Chinese enterprises for a long time. India has overcapacity in o-chloro-p-nitroaniline, with more than half of its sales being exported overseas. China is the only importer of such products, which has brought huge instability to China's enterprises.
The frequent initiation of India's anti-dumping investigations against China appears to be very casual and disproportionate compared to China's investigations against India. In the second half of last year, India launched more than a dozen anti-dumping investigations against a number of China's export commodities, and expressed its willingness to relax the strict scrutiny of Chinese investment in its remarks at the Davos forum. This behavior was refuted by China***, pointing out that there are political considerations behind it. However, the anti-dumping wave initiated by India often ends with low or no tariffs. This fully proves that India's hype on economic and trade issues is often constrained by practical interests and the dependence of domestic industries on Chinese manufacturing, so it has to choose to abandon this unrealistic approach.
Modi has been hyping up India's manufacturing sector, promising to raise India's manufacturing share of GDP to 25 per cent. However, the data shows that India's manufacturing sector has not only failed to grow, but has shown a downward trend. India's manufacturing sector will account for 17 percent of GDP in 20237%, down from 187% and 18. in 20203%。It can be seen that "Make in India 20" has become a "big pie" of Modi**, and the effect of boasting to the outside world is far greater than the actual implementation level.
At the same time, the scale of China and India continues to expand, reaching 1,362 in 2023$1.8 billion. India remains dependent on Chinese imports of goods, far exceeding India's exports to China. This fully shows that no matter how India advertises itself, India's manufacturing industry is still far behind China, and its dependence on China is far greater than China's dependence on India.
Although China has established the most comprehensive industrial category in the world, there are still some products that cannot be produced in-house, such as o-chloro-p-nitroaniline. The role of this type of product in the ** chain is not appreciated, but it has a huge impact on the production and operation of related industries, and China is completely dependent on imports.
In the face of the strategic encirclement of China by the United States and the West, it is necessary for China to eliminate the unstable factors as soon as possible and use the anti-dumping duties as a "barrier" to try to fill the loopholes in localization. Only in this way will China be able to get rid of the situation of being constrained by others in terms of small and medium-sized items.
The real reason behind the Sino-Indian dispute is India's manufacturing problems. Despite Modi's hype of "Make in India 2."0", but the reality is that India's manufacturing sector is declining and cannot be compared with China. The anti-dumping investigations initiated by India are often based on low or even no tax revenue, which fully shows that India's speculation on economic and trade issues is constrained by the dependence of domestic industries on Chinese manufacturing.
It is necessary for China to speed up the filling of the loopholes in localization, reduce its dependence on imported products, and improve its independent innovation capacity and production efficiency. Only in this way can China develop more independently and stably in the international arena.