HomeFM Nirmala SitharamanIndia making efforts to attract industries seeking to diversify from EU, China:...

India making efforts to attract industries seeking to diversify from EU, China: Finance Minister Nirmala Sitharaman

Source : Deccan Herald

India making efforts to attract industries seeking to diversify from EU, China: Finance Minister Nirmala Sitharaman
Indian Finance Minister Nirmala Sitharaman. (Credit: Reuters File Photo)

Indore (Madhya Pradesh): The Government of India is making efforts to attract industries that plan to diversify their production base from Europe due to impending recession, geopolitical crisis and other challenges in the region, Union Finance Minister Nirmala Sitharaman said on Tuesday.

“The world has been talking about China-plus-one. Can that plus one be India? Now I am hearing EU-plus-one as well. So, the people who have invested in China may want to continue there, but may also want to find another source from where they can produce and be a part of the global value chain,” Sitharaman said while addressing a session at the 17th Pravasi Bharatiya Divas convention in Indore, Madhya Pradesh.

“We would like to pit India as that plus one country when it comes to consideration of those manufacturers who want to get out of China or want to have one more place from where they can produce,” she added.

While the China-plus-one strategy has gained currency among major global manufacturers, EU-plus-one is a new development. China-plus-one refers to a business strategy in which companies avoid investing only in China and diversify their businesses to alternative destinations.

According to Sitharaman, a similar strategy is being considered among the companies that have manufacturing bases in Europe.

“China-plus-one, we are actively making sure that India becomes that successful plus-one. But the European Union as well. If they are going to go through recession, which is a probability, which many people are now saying is highly probable, so there is this temptation of many of the manufacturers who are located in Europe also to look at plus one,” she said.

“China plus one is ongoing. European Union plus one, and that plus one again, can India fit in that role, is the effort of the government of India to make sure that we are able to attract industries which are also looking for setting up elsewhere other than being in Europe,” the finance minister said.

Sitharaman noted that some big companies have already committed to setting up manufacturing bases in India.

She said Airbus would soon start producing C-295 transport aircraft from its manufacturing facility in Vadodara, Gujarat. Airbus has tied up with Tata Group for setting up a manufacturing facility in Gujarat. The foundation stone of the project was laid in October 2022. The total estimated cost of the project is Rs 21,935 crore.

The United States-based Lockheed Martin has set up a manufacturing facility in India to produce F-16 wings. Lockheed Martin has also tied up with Tata group for its India manufacturing facilities. “From here they will export wings to all the F-16 assembly points,” Sitharaman said.

The finance minister said India is poised to become an important player in chip manufacturing in the world. One in every 10 semiconductor design engineers in the world is Indian.

She noted that the largest number of semiconductor design engineers are located at the outer ring road area of Bengaluru. “You will find the concentration of 50,000 to 70,000 design engineers who are in semiconductor designing, all of them present at the outer ring road area of Bengaluru alone,” she said.

“They are the semiconductor design engineers, who are at the heart of the semiconductor industry,” she added. The total number of semiconductor design engineers in the world stands at around 6-7 lakh. Nearly one-tenth of these are located in Bangalore alone.



Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Aatmanirbhar Bharat


With Project-75I Submarine Acquisition Facing Delays, MDL Shifts Focus to Indigenous 3,000-ton Project-76 Submarine Design

Source : IgMp Bureau Mazagon Dock Shipbuilders Limited (MDL), India's premier shipyard, has announced its intention to develop an entirely indigenous conventional submarine design by...

India Issues NOTAM Warning for Potential SAM Test; Possible test of XR-SAM ?

Source : IgMp Bureau India has released a Notice to Airmen (NOTAM), restricting airspace from May 16th, 2024, to May 30th, 2024. The specified area...

AMCA 5th Generation Stealth Fighter Updates

AMCA to be integrated with sophisticated indigenous Distributed Aperture System (DAS) that making it a formidable air asset for the Indian Air Force

Source : IgMp Bureau India’s Advanced Medium Combat Aircraft (AMCA) is on the brink of a revolutionary transformation with the integration of a sophisticated Distributed...

AMCA to incorporate the best features of both 5th and 6th Generation fighters: ADA sources

Source : IgMp Bureau India's strides toward indigenous air dominance receive a substantial boost with the green signal for the Advanced Medium Combat Aircraft (AMCA)...

Most Popular

Recent Comments

Archive Months


India is central to US’ vision for a free and open Indo-Pacific senior Pentagon official

Source : Press Trust of India (PTI)Representative ImageWashington: The US views its partnership with India as central to its vision for a free and open...

Indian Navy will become fully Atmanirbhar by 2047: Admiral R Hari Kumar

Chief of Naval Staff Admiral R Hari Kumar on Wednesday said the Navy is committed to become fully ‘Atmanirbhar’ or self-reliant by 2047 when...

MoD’s year-end assessment reveals already conducted test of SFDR aka Astra Mk3 BVRAAM in 2023

Source : IgMp Bureau The Indian Ministry of Defence (MoD) has officially stated in its year-end assessment that the Defence Research and Development Organisation (DRDO)...
error: Content is protected !!