CEA Nageswaran: India Should Woo Chinese Manufacturers Like Apple

Chief Economic Advisor (CEA) V. Anantha Nageswaran has urged India to actively attract Chinese manufacturers to set up production facilities in the country, similar to how Apple’s suppliers have localized manufacturing under India’s Production Linked Incentive (PLI) scheme.

Nageswaran emphasized that despite geopolitical sensitivities, economic pragmatism should prevail, as India’s industrial growth goals require a broader manufacturing base and global supply chain integration.

He pointed out that Chinese firms possess unmatched expertise in electronics, semiconductors, and component assembly — capabilities that can accelerate India’s journey toward becoming a global manufacturing hub.

The CEA highlighted that Apple’s successful transition of part of its supply chain to India was made possible because several Chinese component makers partnered with local firms and operated under strict regulatory oversight.

Nageswaran suggested that a similar partnership model could be extended to other sectors, including renewable energy, electric mobility, and consumer electronics, to create a technology spillover effect and drive employment.

He noted that India’s PLI schemes, infrastructure push, and policy stability now provide the right ecosystem for high-value manufacturing, positioning India as a preferred alternative to China in global trade realignments.

However, the CEA cautioned that India must manage geopolitical risk carefully, ensuring that participation by Chinese companies aligns with national security interests and data governance frameworks.

Experts agree that attracting select Chinese manufacturers under joint ventures or technology-transfer arrangementscould strengthen India’s supply chains without compromising sovereignty.

Such collaborations would also help India bridge the capability gap in advanced manufacturing, enhance export competitiveness, and support the government’s ‘Make in India, Made for the World’ vision.

Nageswaran concluded that strategic openness — not isolation — will define India’s industrial success, underscoring that “if we can manage Apple’s ecosystem, we can manage others too.”