India has withheld approval for the import of WiFi modules from China for months, preventing product launches in key growth markets from US computer makers Dell and HP and China’s Xiaomi, Oppo, Vivo and Lenovo, two industry sources said. is getting delayed. ,

Sources said imports of finished electronic components with WiFi modules such as Bluetooth speakers, wireless earphones, smartphones, smartwatches and laptops from China are getting delayed.

The wireless planning and coordination (WPC) wing of the communications ministry has withheld approval since at least November, according to sources who were familiar with the lobbying efforts of the firms seeking approval.

A source said that since then more than 80 such applications from US, Chinese and Korean companies are pending with the WPC. Sources said that applications of some Indian companies importing some finished products from China are also awaiting approval from the WPC.

Dell, HP, Xiaomi, Oppo, Vivo and Lenovo did not respond to requests for comment.

The communications ministry also did not respond to a request for comment. And both sources said the government is yet to respond to representations made by industry lobby groups and individual companies.

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India’s tough stance on Chinese imports comes amid Prime Minister Narendra Modi’s call for greater economic self-reliance.

His nationalistic policies have helped boost the growth of smartphone assembly in the South Asian nation, and sources believe the government intends to persuade companies to locate more production of their electronic devices in India.

“The idea of ​​the government is to motivate companies to manufacture these products in India,” said a source.

“But tech companies are caught in a difficult situation – manufacturing in India would mean big-ticket investments and longer waits for returns, while government-imposed constraints on imports mean a potential loss of revenue.”

India previously allowed companies to self-declare wireless devices, a move that made imports easier, but in March 2019 new rules made it mandatory for companies to seek government approval.

While India’s market and export potential has made it the world’s second largest mobile maker, tech analysts and industry insiders say there is still time for companies to make big investments in making IT products and smart wearable devices. It has no size or scale yet.

wary of china technology

The long delay in WPC approval also underscores India’s strategy to reduce China’s influence in its tech economy, especially after last year’s border conflict with Beijing, though tensions have eased since then.

The Modi government this week removed Chinese gear maker Huawei from the list of participants in its 5G trials, although European and Korean rivals were allowed.

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And once 5G deployment begins in India, New Delhi will likely block mobile carriers from using Huawei’s telecoms gear, as Reuters previously reported.

US companies Apple, Cisco and Dell were caught in India’s border tensions with China last year after Indian ports blocked the import of their products from China.

In another instance reported by Reuters late last year, India’s tighter controls on quality approvals for electronic goods from China slowed imports of Apple iPhone models.

Now that companies have obtained safety clearance from India’s quality control agency, getting WPC approval has become the main hurdle in the import of electronic components from China.