Centre Plans To Remove Curbs Barring Chinese Firms From Bidding For Govt Contracts: Report

India plans to scrap curbs on Chinese firms bidding for government contracts. Reuters reported that the restrictions, in place for years, may be lifted, allowing Chinese companies to bid for capital goods projects. This potential policy shift triggered a sharp sell-off in domestic capital goods stocks, with BHEL crashing 8% to Rs 279. Market Expert Sharmila Joshi analyses the negative impact on domestic PSUs like L&T, Siemens, and BHEL. Joshi questions the logic given the security concerns and notes that this could mean 'lesser opportunities or more competition for the domestic companies' in sensitive sectors like defense and infrastructure.