Indian Prime Minister Narendra Modi is aiming at China's economy with its next move that will bolster India's national security and Atmanirbhar Bharat objectives. The government gave its nod to the National Security Directive on Telecommunication Sector on Wednesday. Under this narrative, the telecom service providers will be mandated to purchase equipment from trusted sources.
As per the provisions of this directive, the government will release a list of "trusted" vendors and sources to procure telecom devices, which won't risk national security. Without naming China, this move by PM Modi-led government takes aim at China and its biggest conglomerates – Huawei and ZTE.
The list of trusted products will be created by the designated authority, the National Cyber Security Coordinator. Ravi Shankar Prasad, Communications Minster, said there will be another list made up of designated sources from who no procurement can be done. It's not clear as to which companies have made it to the list, but if India follows US lead, Huawei and ZTE won't be excused.
Being on India's good books has perks
"Those that meet the criteria of the Department of Telecommunications' preferential market access (PMA) scheme will be certified as India trusted sources. The National Security Committee on Telecom will take measures to increase use of equipment from such Indian trusted sources," Prasad said.
Under the PMA scheme, home-grown companies are given preference over international ones. The policy will come into effect after 180 days from the date of approval.
India and China relations on the former's national security front have been rocky. Earlier this year, India banned over 200 Chinese apps and even restricted certain investments from China. This is amidst ongoing border tensions along the Line of Actual Control in Ladakh since early May. Without getting Huawei and ZTE, two telecom giants of Chinese origin, in India's "trusted" sources list, it's going to be a major blow to China's economy.
