Railways has decided to cancel the Rs 471 crore contract for signaling and telecommunications given to the Chinese company.
New Delhi| After the violent face-off between the soldiers of India and China in the Galwan Valley, the government is showing strict stance on Chinese companies. According to a Dainik Bhaskar report, The central government is considering to increase the custom duty on many products to be imported. These include products specifically imported from China. Sources told the news agency that no final decision has been taken in this regard. However, the focus is on reducing imports of non-essential products.
Earlier, the Railways on Thursday cancelled the Rs 471 crore deal with the Chinese company. On Wednesday too, Bharat Sanchar Nigam Limited (BSNL) decided to completely stop using Chinese products to upgrade 4G resources.
Railways awarded contracts in 2016, so far only 20% work done
Railways has decided to cancel the Rs 471 crore contract for signaling and telecommunications given to the Chinese company. The railway awarded the contract in 2016 to Beijing National Railway Research and Design Institute of Signal and Communication Group, a Chinese company.
The Chinese company was to undertake signaling and telecommunications work in the 417-km Kanpur and Mughalsarai section of the Eastern Dedicated Freight Corridor under this contract of Rs 471 crore. Railways said that the company’s pace in this work is very slow. The company was supposed to complete the work by 2019, but so far only 20% of the work has been completed.
BSNL bans Chinese products, tender may be issued afresh
The Center on Wednesday also asked Bharat Sanchar Nigam Limited (BSNL) to completely stop using Chinese products to upgrade 4G resources. The report citing sources said , the telecom department took this decision in view of security.
Now the telecom department can issue fresh tender for updation of 4G service. Apart from this, the central government is also considering that private operators should also be asked to reduce their dependence on the products of Chinese companies. Telecom companies like Bharti Airtel, Vodafone-Idea are currently working with Huawei while BSNL works with ZTE. Government sources believe that the product network of Chinese companies has always been a thre at to security.
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