Putin threatens Kyiv decision-makers after striking energy grid    Lulu opens new store in Al Fakhriyah, Dammam as it further strengthening its presence in Saudi Arabia New Lulu stores are set to open in Makkah and Madinah    Defending the Truth: Saudi Arabia and the 2034 World Cup    Culture minister visits Diriyah Art Futures    Saudi Arabia calls for enhanced international cooperation to address water sector challenges    Survey: 60% will use Riyadh Metro to go for work or school    GCC Preparatory Ministerial Meeting discusses developments in Gaza and Lebanon    RCRC Chief: Riyadh Metro, featuring environmental sustainability, will improve quality of life and revolutionize transportation    Saudi Arabia hosts over 13 million foreign residents from 60 countries, says human rights official    Al Taawoun seals AFC Champions League Two knockout spot with 2-1 win over Al Khaldiya    Israel to appeal against ICC warrants for Netanyahu and Gallant    Trump nominates Keith Kellogg as special envoy for Ukraine and Russia    Al-Jasser: Riyadh Metro to accommodate one million passengers daily    Elon Musk publicizes names of government employees he wants to cut    Israelis survey damage and mull return to north as ceasefire begins    Al Hilal advances to AFC Champions League knockout stage despite 1-1 draw with Al Sadd    Best-selling novelist Barbara Taylor Bradford dies    Most decorated Australian Olympian McKeon retires    Adele doesn't know when she'll perform again after tearful Vegas goodbye    'Pregnant' for 15 months: Inside the 'miracle' pregnancy scam    Order vs. Morality: Lessons from New York's 1977 Blackout    India puts blockbuster Pakistani film on hold    The Vikings and the Islamic world    Filipino pilgrim's incredible evolution from an enemy of Islam to its staunch advocate    Exotic Taif Roses Simulation Performed at Taif Rose Festival    Asian shares mixed Tuesday    Weather Forecast for Tuesday    Saudi Tourism Authority Participates in Arabian Travel Market Exhibition in Dubai    Minister of Industry Announces 50 Investment Opportunities Worth over SAR 96 Billion in Machinery, Equipment Sector    HRH Crown Prince Offers Condolences to Crown Prince of Kuwait on Death of Sheikh Fawaz Salman Abdullah Al-Ali Al-Malek Al-Sabah    HRH Crown Prince Congratulates Santiago Peña on Winning Presidential Election in Paraguay    SDAIA Launches 1st Phase of 'Elevate Program' to Train 1,000 Women on Data, AI    41 Saudi Citizens and 171 Others from Brotherly and Friendly Countries Arrive in Saudi Arabia from Sudan    Saudi Arabia Hosts 1st Meeting of Arab Authorities Controlling Medicines    General Directorate of Narcotics Control Foils Attempt to Smuggle over 5 Million Amphetamine Pills    NAVI Javelins Crowned as Champions of Women's Counter-Strike: Global Offensive (CS:GO) Competitions    Saudi Karate Team Wins Four Medals in World Youth League Championship    Third Edition of FIFA Forward Program Kicks off in Riyadh    Evacuated from Sudan, 187 Nationals from Several Countries Arrive in Jeddah    SPA Documents Thajjud Prayer at Prophet's Mosque in Madinah    SFDA Recommends to Test Blood Sugar at Home Two or Three Hours after Meals    SFDA Offers Various Recommendations for Safe Food Frying    SFDA Provides Five Tips for Using Home Blood Pressure Monitor    SFDA: Instant Soup Contains Large Amounts of Salt    Mawani: New shipping service to connect Jubail Commercial Port to 11 global ports    Custodian of the Two Holy Mosques Delivers Speech to Pilgrims, Citizens, Residents and Muslims around the World    Sheikh Al-Issa in Arafah's Sermon: Allaah Blessed You by Making It Easy for You to Carry out This Obligation. Thus, Ensure Following the Guidance of Your Prophet    Custodian of the Two Holy Mosques addresses citizens and all Muslims on the occasion of the Holy month of Ramadan    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



What's behind China-India dispute?
By Devidutta Tripathy and Bappa Majumdar
Published in The Saudi Gazette on 16 - 05 - 2010

India's concerns that Chinese telecoms network equipment will compromise national security risks hurting ties between the world's two fastest growing economies.
Below are some questions and answers on what the most recent spat is about and what its implications are:
What prompted the spat?
India's Interior Ministry and intelligence community have long worried that Chinese equipment may have spying technology embedded that can be used to intercept sensitive conversations and government documents that can endanger national security.
The two companies in focus are Huawei Technologies Co and ZTE Corp, the largest network equipment makers in China.
Huawei founder and Chief Executive Ren Zhengfei is a former People's Liberation Army officer, a past that is seen as giving Huawei close links to the Chinese government, although the company says it is owned by its employees.
A series of attacks on Indian government websites by suspected Chinese hackers also hardened Indian authorities' position on importing potentially sensitive Chinese equipment.
Last year, India directed state-run telecoms carrier Bharat Sanchar Nigam Ltd not to procure equipment from Chinese vendors in 15 states that have sensitive land borders.
The Indian government last year banned mobile handsets without a unique identity number for fear they could be used by terrorists. Most of these so-called non-IMEI handsets were Chinese made.
Is there a formal ban on Chinese equipment?
Indian government ministers and officials have repeatedly denied any country-specific ban; it is mandatory for all Indian telecom carriers to seek security clearance from the telecom ministry before placing a purchase order, Chinese or otherwise.
Ultimately the telecoms ministry asks the interior ministry if it has any concerns regarding security.
Huawei and ZTE, the two big Chinese gear makers, both say they have not received any formal communication from the Indian government regarding the restrictions.
ZTE said it had been told by carriers that certain companies including itself had not qualified in India's security tests.
Equipment of UTStarcom Inc has also not been cleared by the ministry, media reports say. UTStarcom has been focused on Asian markets, with a particular emphasis on China, and recently said it was moving its headquarters to Beijing from California.
Why is there mistrust?
India and China have long been wary of each other and fought a brief war in 1962. Mistrust persists, especially over the 90,000 square kilometer (35,000 sq. miles) of land in Arunachal Pradesh state that China sees as “southern” Tibet.
China also frequently directs its ire at the Dalai Lama, the exiled Tibetan spiritual leader who lives in India, and whom it accuses of being a dangerous “splittist”.
India is concerned about Beijing's growing economic and military might.
India and China are locked in a battle of influence over the Indian Ocean region, with China creating a “string of pearls” or listening posts and investing in economies from Pakistan to Myanmar that analysts say are intended to encircle India.
India and China have also sparred over trade, with New Delhi initiating more anti-dumping investigations with the World Trade Organization than any other country.
India has banned dairy products, including chocolate.
What is at stake for telecoms vendors?
Shenzhen-based Huawei and hometown rival ZTE have operated in India for years, supplying products and services often significantly cheaper than Western rivals to Indian carriers.
Huawei more than doubled its revenue from India to about $1.4 billion in the year to March 2009, while ZTE did business of more than $1 billion, according to technology publisher CyberMedia.
India is currently auctioning third-generation (3G) spectrum, as planned 3G networks spell big business for vendors.
European vendors such as Ericsson and Nokia Siemens Networks, which still dominate the Indian market, may gain at the cost of Chinese firms.
Can it impact bilateral trade?
Some analysts say China could retaliate if India sticks to its position.
China is India's biggest trade partner and bilateral trade is expected to pass $60 billion this year. India is grappling with a deficit in China's favor which rose to $16 billion in 2007-08 from $1 billion in 2001-02.
Will it lead to a diplomatic row?
Unlikely, despite an influential faction within the Indian government which is hawkish towards China.
Indian Prime Minister Manmohan Singh, an economist, is known to favor building on the burgeoning trade ties between the two.
Earlier this year, Singh appointed Shiv Shankar Menon as national security adviser, replacing a former intelligence chief seen as having a more hawkish approach to regional security. This was seen as a signal that Singh wanted to reach out to Beijing.
The row will probably be resolved through dialogue, in the same manner other twitchy issues have been dealt with. Given the huge amount of business at stake, officials on both sides will likely ensure the issue does not snowball.


Clic here to read the story from its source.