Mao Ning profile photo Photo: official website of the Chinese Ministry of Foreign Affairs

China's Foreign Ministry said on Monday that it is closely monitoring the situation after three senior employees of Chinese firm Vivo were arrested by Indian authorities, vowing that the Chinese government firmly supports Chinese firms' efforts to safeguard their legal rights and interests. 

Chinese diplomatic missions in India will continue to provide consular protection and assistance to Chinese citizens involved in accordance with laws and regulations, Mao Ning, a spokesperson for the ministry, said at a regular press briefing in Beijing. 

"We urge the Indian side to fully recognize the mutually beneficial nature of China-India economic and trade cooperation and provide a fair, just, transparent and non-discriminatory business environment for Chinese enterprises to invest and operate in India," Mao said. 

On Saturday, Reuters, citing an unidentified source, reported that India's financial crime-fighting agency had arrested two senior employees working for Vivo's India unit. This came two months after India's Enforcement Directorate arrested four industry executives, including one Chinese national, working for Vivo's Indian unit in a case of alleged money laundering, according to Reuters. 

In a statement, Vivo said that it was alarmed by the actions and vowed to challenge the charges legally. 

"The recent arrests demonstrate continued harassment and as such induce an environment of uncertainty among the wider industry landscape. We are resolute in using all legal avenues to address and challenge these accusations," a Vivo spokesperson was quoted by Reuters as saying. 

India has stepped up crackdowns targeting an increasing number of Chinese companies, particularly smartphone makers. Chinese experts have slammed these discriminatory actions as proof that India is a "graveyard for foreign investment."

Indian officials aim to end the dominance of Chinese smartphone makers in the Indian market, and Taiwan island-based contractors such as Foxconn fit into the plan, an executive from a Chinese smartphone brand told the Global Times on condition of anonymity.

For instance, while the Indian government is harassing Chinese businesspeople about their visas, Foxconn is flying experienced Chinese technicians in their thousands from the company's Chinese work site to help Foxconn's Indian plant to achieve the necessary levels of production efficiency. 

"To the extent of my knowledge, Foxconn plans to triple its annual iPhone output in Chennai by next year to 20 million sets, while the number of workers is to double to 100,000," the executive revealed.

Global Times