The Global Times (January 13) observed that "India appears to be showing a sense of unusual urgency in
expanding its trade network these days, in contrast to its long-held protectionist stance" but warned " India
must understand clearly that any attempt to exclude China, the world's second-largest economy and biggest
trading nation, will seriously hamper its quest for influence in global trade." It mentioned the start of Free
Trade Agreement negotiations with UK, Australia, EU and Canada and its allowing imports of US pork and pork products to its market. Stating that "The developments seem to be a far cry from the Modi government's
previous wariness and resistance to free trade deals" and India's opting out of the Regional Comprehensive
Economic Partnership, or RCEP, it said India seems to have "finally realized the importance of free trade
for the Indian economy as well as its need for better access to global markets". It added that "since India has
always regarded China as a strategic rival" it is seeking to build a trading system that can resist regional
economic influence. It said this "could be seen as a sign of its intention to counter China's economic influence
in the region, especially as the RCEP took effect and tensions between China and India still persist". Saying
that regional cooperation does not conflict with India's ambition of moving up the global industrial chain, it
pointed out that India's textile exports to the US surged in 2021, grabbing market share of Chinese textiles
in the US amid China-US tensions, but that Vietnam and India are the two largest importers of sewing
machines from China. It said this is an example of "competition based on cooperation helps show why India
needs to consider strengthened cooperation with regional economies like China as a better option". It said,
in conclusion, that India "needs to attach importance to regional cooperation to support its free trade
ambitions".
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