Beijing says app ban will hurt Chinese companies, India may suffer more economic losses than during Doklam crisis

BEIJING: A day after the Indian government banned 59 China-linked mobile apps, a Chinese state-run media outlet said that the "political crackdown" by New Delhi may lead to more economic losses than during the Doklam crisis.


The Indian government on Monday banned 59 apps with China links including TikTok, SHAREit, UC Browser, Baidu map, Helo, Mi Community, Club Factory, WeChat and UC News in view of the information available that they were engaged in activities "which is prejudicial to sovereignty and integrity of India, defence of India, the security of the state and public order".


China's state-run Global Times said the move has dealt a severe blow to the confidence of Chinese investors and traders.

"What the Indian government and people have done has dealt a severe blow to the confidence of Chinese investors and traders and the Indian economy could remain subdued for a protracted time under the devastating shocks from the coronavirus outbreak," it said.

The report said over the years China-India border brawls have occurred occasionally "but it would be uncommon for the two countries to engage in an economic war".

"Even during the Doklam standoff in 2017, India's economic losses were limited as bilateral trade ties recovered quickly following the crisis. But that doesn't mean the Indian side should underestimate the consequences of an economic war with China. And China's restraint is not a reason for India to recklessly crackdown on Chinese businesses," it said.

"Under such circumstances, if the Indian government continues to pamper the country's nationalist sentiment, it may suffer more economic losses than it did during the Doklam crisis. We sincerely hope the Indian government will wake up to the reality of the situation and help prevent the current crisis from deteriorating to a firestorm," it added.

Noting that it is undeniable that the app ban will hurt the commercial interests of relevant Chinese companies, the report said when looking at the bigger picture, it is clear that India is "in no position to cause harm to China's juggernaut economy".

"India's attempt to extend the China boycott to the internet services sector is sending a very negative signal as the country's boycott-China provocations will further worsen bilateral relations to trigger an economic conflict," it said.

Ji Rong, the spokesperson of the Chinese Embassy in New Delhi, said his country is seriously concerned with and firmly opposed to such action.

"The Chinese side is seriously concerned with and firmly opposed to such action. India's measure selectively and discriminatorily aims at certain Chinese apps on ambiguous and far-fetched grounds, runs against fair and transparent procedure requirements, abuses national security exceptions, and suspects of violating WTO (World Trade Organisation) rules," Ji said.

The face-offs on the LAC, particularly the violent face-off in Ladakh's Galwan valley on June 15-16 after an attempt by the Chinese troops to unilaterally change the status quo during the de-escalation has triggered an anti-China sentiment in India. Twenty soldiers were killed in the face-off and Indian intercepts revealed that the Chinese side suffered 43 casualties including dead and seriously injured.

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