India weighs tighter visa norms for Chinese nationals

The hardening of stance comes against the backdrop of rising concerns over an influx of Chinese goods into India, following steep tariff hikes by the US. New Delhi is wary of China redirecting US-bound exports to other markets including India, which could undermine domestic industry and the government’s self-reliance drive.

Also Read | India to take on China on GI listings by tapping goods district-wise

India’s trade deficit with China soared to a record $99.2 billion in FY25, underlining not only a growing trade imbalance, but also a deeper structural dependence on Chinese supply chains.

Queries sent to the Prime Minister’s Office, ministries of home, commerce, external affairs and the Chinese Embassy remained unanswered.

Also Read | Mint Quick Edit | Trump’s $5 million price tag on a US visa is no big shock

"The visa process for Chinese nationals has never been free-flowing, especially after tensions escalated following the Galwan Valley incident in 2020. Under the proposed stricter norms, visas for technical personnel will be issued for a very limited period, and their movement will be restricted to designated areas only," said the first of the two persons mentioned above. Authorities or companies hosting Chinese nationals will be held responsible for any lapses or violations, the person added.

“The purpose is to keep a strict vigil on their movement, given that the trust deficit between the two countries has not yet been resolved," said the second person.

Also Read | What US green card and visa holders need to know about recent deportations

“The authorities have also begun closely scrutinizing both the origin and end-use of such machinery, as well as the movement of Chinese personnel, amid concerns that this could be part of a broader effort to bypass Western restrictions or discreetly re-enter sensitive sectors in India," this person said.

The government is wary as many Chinese firms—particularly in sectors like electronics, machinery, steel, and telecom—are now looking to India as an alternative market following the steep hike in duties imposed by the US.

However, experts have raised concerns about the government’s proposed move, saying that India should refrain from engaging in confrontation with China, given its heavy import dependency on Chinese goods and machinery used in different manufacturing sectors.

“The government should handle these issues with sensitivity. Chinese technicians are required for the commissioning of critical equipment and machines being used in the manufacturing sector," said Ajay Srivastava, co-founder, Global Trade Research Initiative (GTRI).

Commerce ministry data show that imports from China surged 11.5% year-on-year to $113.4 billion in FY25 from $101.74 billion in FY24, led by strong demand for electronics, electric vehicle batteries, solar cells, and critical industrial components—sectors where Chinese firms dominate India’s sourcing landscape.

Even more concerning is the sharp 14.5% drop in India’s exports to China, which fell to just $14.2 billion from $16.67 billion in FY24—a level similar to that in FY14, when the rupee was significantly stronger and India’s exports to China were valued at $13.4 billion.

India has maintained a cautious stance on Chinese entry into key sectors since the deadly 2020 Galwan Valley clash along the Line of Actual Control in Ladakh.