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Finding alternatives to China not easy, caution auto manufacturers

Bajaj Auto and its suppliers source components, including alloy wheels and transmission components worth Rs 1000 crore from China

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Shally Seth Mohile Mumbai
Auto manufacturers and component makers in India have sounded a note of caution against the rising call to boycott Chinese products.

A knee-jerk reaction, they said, could be detrimental to the fortunes of an industry that is highly dependent on the country given the huge competitive advantage it offers, in terms of cost and speed.

India’s $120-billion auto industry sources 8-20 per cent of its annual requirement from China, show industry estimates.

Rajiv Bajaj, MD of Bajaj Auto, said: “China offers competitive advantage in terms of speed and costs.” While it is possible to find alternatives and concurrently produce locally, it will be

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First Published: Jun 21 2020 | 6:32 PM IST

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