Latest news with #China-centric
Mint
08-07-2025
- Business
- Mint
Apple's tree of knowledge: Skills are picked up on factory floors not just in classrooms
Gift this article Apple estimates that it has trained at least 28 million Chinese workers since 2008. That is more people than the entire labour force of California, where Apple Inc is based. This is one of the many stark facts in Apple In China: The Capture of the World's Greatest Company, written by Patrick McGee, who reported from China for the Financial Times. Apple estimates that it has trained at least 28 million Chinese workers since 2008. That is more people than the entire labour force of California, where Apple Inc is based. This is one of the many stark facts in Apple In China: The Capture of the World's Greatest Company, written by Patrick McGee, who reported from China for the Financial Times. This massive skilling of Chinese workers was one of the building blocks of a sophisticated supply chain that now spreads across the globe. Another building block was massive capital investments into China—an estimated $275 billion in the five years since 2016, for example. McGee writes that Apple now has a network of 1,500 suppliers in 50 countries. 'But all roads lead through China: 90 percent of all production occurs in the country, and its much-vaunted assembly operations in Vietnam and India are no less dependent on the China-centric supply chain". These two facts—the centrality of worker training and the dependence on China—have come together in recent weeks to complicate Apple's plans to shift more of its mobile phone assembly operations to India. Newspaper reports say that Apple supplier Foxconn has told hundreds of Chinese engineers to return home. They are in India to train Indians employed to work in the new assembly lines. China is also slowing down the supply of machines needed to build these assembly lines. Some of the hard realities that McGee has described in his book resonate in India right now, as the government seeks to deepen Indian presence in the Apple supply chain while China tries to slow down this transition. This necessarily complicates the geopolitical calculations of the Indian government, caught between placating China and challenging its might. However, there is a broader economic lesson as well. Large investment projects—whether by local companies or foreign ones—have a more profound impact on an economy than the obvious increase in production. They also involve the training of workers as well as suppliers, which helps spread productivity gains across the rest of the economy over a longer period of time. These are the knowledge spillovers that economists often talk about. One of the persistent debates in India is whether we have a good enough system of skilling to prepare young workers for the job market. This is a valid concern, given the state of our education system and the widespread preference for non-technical subjects in a country where physical work often carries a social stigma and administrative jobs in government are in high demand. Many of the country's policy discussions focus on fixing the education system, both our mainstream universities as well as more specialized colleges for skilling. What the Apple example shows us is that a lot of skilling also happens on the factory floor rather than in the classroom. Demand for skills precedes the supply of skills. Another fascinating example of this comes from the US, in an earlier era of international conflict, World War II. The way that American companies built capacity to help the Western Allies win the War is told engagingly in Freedom's Forge: How American Business Produced Victory in World War II, written by historian Arthur Herman. One of the fascinating parts of the story he tells is about how millions of Americans who had little previous experience of working with sophisticated machines learnt those skills in quick time: 'School-teachers, salesmen, clerks, hairdressers, bank tellers, and housewives became skilled aviation workers, learning to cut aluminium sheets, lay out electric cable, or buck and rivet for ten hours a stretch." Also Read: China plus one: It's a moving target that India can still strike As the entrepreneur Yogesh Upadhyaya wrote recently in a very insightful blog post on the book: 'For unskilled people to be able to perform prodigious feats of production, very skilled people had to design the factories and the process for making the munitions. And then perhaps even more skilled people had to make the machines that made machines. Also, the unskilled labour had to be taught basic skills by experienced skilled hands. America had all three sets of people." The American effort was led by business leaders from two key industries: William Knudsen of General Motors and shipping tycoon Henry J. Kaiser. The American pivot to a war economy was a relatively quick one, partly driven by the very urgency of the task. Relocating supply chains away from China in a more peaceful (though unstable) world is likely to be a longer game. The Apple-India saga shows that skills are an underestimated part of the transition. In his book, McGee reports on how not just the US, but even Taiwan played a huge 'multi-decade role" in Chinese industrialization via investment and worker training. Taiwan itself was helped in the 1960s by Japanese companies that invested heavily in training the workforce there. So was South Korea. It is not just an Asian story. Apple sent experts from Singapore to train workers at a manufacturing plant that Foxconn bought in the Czech Republic back in 2000. This also means that skills are still diffused across the Apple supply chain and worker training in India can perhaps be done by people from countries other than China. The author is executive director at Artha India Research Advisors. Topics You May Be Interested In
New Indian Express
01-07-2025
- Business
- New Indian Express
Defining India-US ties through China is misleading, gross oversimplification: EAM Jaishankar
NEW DELHI: External Affairs Minister S Jaishankar pushed back against the notion that India's relationship with the United States is primarily shaped by their mutual stance on China, calling such a view both simplistic and misleading. 'I think it's a very gross oversimplification to make India-US about China. In fact, it's not just an oversimplification. I think it's even misleading at times,' Jaishankar said during a discussion with in New York. Highlighting the multifaceted nature of the India-US partnership, Jaishankar pointed to the deep economic, technological, and people-to-people ties between the two democracies. 'Look at our trade numbers and look at the relevance of that trade to our respective economies. Look at our technology connect,' he said. Jaishankar emphasised that even India-US defense cooperation often gets incorrectly framed in a China-centric narrative. 'There is a tendency to point even the defence or security cooperation towards China, but I ask you to look at the other coast. We work to keep the Arabian Sea safe for global shipping.' 'This is (an) age of oversimplification. I urge you not to fall into that. I think the world is much more nuanced. It's much more multi-causal. We have many more interests than just one country,' he added. 'I would certainly like to believe that the relationship is going well because there is great merit in me.'
Business Recorder
01-07-2025
- Politics
- Business Recorder
Dealing with Indian intransigence
EDITORIAL: The failure of the Shanghai Cooperation Organisation's (SCO's) defence ministers' summit to end with the signing of a joint communique marked a rare breakdown in consensus within a forum traditionally known for its predisposition for collective action. The disharmony on display can be directly attributed to India's stubborn refusal to endorse a joint declaration that omitted reference to its version of events with respect to the Pahalgam incident and its narrative on cross-border terrorism. Ever since the Pahalgam tragedy and the stinging defeat that New Delhi was handed during Operation Sindoor, one can observe a hardening pattern of Indian intransigence, where it consistently refuses to explore any avenue for mending ties with Pakistan. This obstinacy not only continues to strain bilateral relations, it is now clearly also derailing multilateral forums, with Indian foreign policy increasingly characterised by obstructionism and an unwillingness to engage in constructive, consensus-driven diplomacy. In fact, one could argue that such obstructionism has long predated recent events, as evidenced by the stagnation of the SAARC forum, which remains effectively paralysed due to India's inflexible posturing. SAARC had the potential to emerge as a dynamic forum, harnessing the collective energy and potential of South Asia; yet today, it lies dormant, crippled by the dysfunctional India-Pakistan relationship. While one could argue that both nations share responsibility for this paralysis, India's disproportionate influence in South Asia has allowed this bilateral dysfunction to completely hijack opportunities for regional cooperation on trade, security, economic connectivity, climate resilience and human development, leaving the entire region poorer in every dimension. Now, the same pattern threatens to undermine more influential forums like the SCO. New Delhi must realise, however, that adopting a similarly rigid approach at the SCO – where heavyweights like Russia and China hold sway – will only serve to deepen its isolation and alienate key forum members that value consensus and pragmatic cooperation. Just days ago, India refused to sign an SCO statement condemning Israeli strikes on Iran, taking issue with Israel being termed as the aggressor, while last year Prime Minister Narendra Modi conspicuously absented himself from the organisation's summits held in Kazakhstan and Pakistan. New Delhi also withdrew from the group's 2030 Economic Development Strategy over fears that it was too China-centric. It goes without saying that while such obstructionism may serve short-term political posturing to cater to a domestic audience, it risks sabotaging India's ambitions for global leadership, as such juvenile brinkmanship is self-defeating and undermines New Delhi's credibility on the world stage. Insofar as the SCO communiqué is concerned, India's inability to convince forum members to endorse its narrative on Pahalgam – failing to produce any evidence to implicate Pakistan even two months after the attack – exposes not only the hollowness of its claims, but also underscores the extreme recklessness of its subsequent actions, from the ill-conceived Operation Sindoor to the unprecedented suspension of the Indus Waters Treaty that threatens to jeopardise Pakistan's water security and food production systems. In this context, Indian Home Minister Amit Shah's recent declaration that the IWT will never be restored and that waters meant for Pakistan will be diverted towards Rajasthan through new canals is highly troubling. Notwithstanding the technical feasibility of such a project, it is New Delhi's unyielding intent on the matter that is truly alarming, as it remains bent upon weaponising water resources. While Pakistan was able to thwart India's designs during the SCO summit, the fact is that ultimate diplomatic victory will be measured by our ability to mobilise sustained international pressure that creates tangible costs for Indian intransigence and secures irreversible protections for the country's water rights. Anything short of this risks severing our agricultural and economic lifelines. Copyright Business Recorder, 2025
Time of India
29-06-2025
- Business
- Time of India
India is well-positioned to emerge as centres of gravity, says Anand Mahindra; calls for speed & private investment amid 'Globalisation 2.0'
A rising tide of protectionism is reshaping global trade, but it is not the end of globalisation—rather its rebirth, said Mahindra Group Chairman Anand Mahindra in his address to shareholders in the company's 2024–25 annual report. Mahindra believes this transition offers India a unique opportunity to emerge as a new centre of gravity in what he called "Globalisation 2.0". "India, too, will face challenges," Mahindra said, noting the evolving nature of global trade marked by shifting alliances, reduced dependence on China-centric supply chains, and diminishing dominance of the US market. He said the world is moving toward a "multi-polar, regional, and domestically driven" model of globalisation, in which India is well-positioned to thrive. "Ironically, the US shift toward de-globalisation may lead to a new avatar of globalisation… I believe India is well-positioned to emerge as one of the new centres of gravity," Mahindra asserted. He underscored India's advantages, including its stable democracy, reputation as a reliable partner, and a strong, apolitical military. However, Mahindra cautioned that the future remains uncertain. "Whether it be a country or a business, the winners will be the ones who can successfully navigate uncertainty and ambiguity—the ones who are resilient." by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like One of the Most Successful Investors of All Time, Warren Buffett, Recommends: 5 Books for Turning... Blinkist: Warren Buffett's Reading List Click Here Undo Referring to geopolitical volatility, Mahindra acknowledged that India faces risks, especially with 'our provocative neighbour', Pakistan. "I am optimistic that we can demonstrate the limits to our tolerance without impeding our path to economic ascendance," he added, quoted PTI. He pointed out that US-China decoupling, while uncertain, is likely to continue, impacting trade flows. "International trade has already slowed amidst heightened uncertainty and dampened investor confidence," he said. Industries relying on global supply chains—such as electronics and consumer goods—are particularly vulnerable due to rising input costs, he warned. Mahindra stressed that India must rethink its trade dependencies and diversify sourcing. He predicted increased localisation, re-engineered supply chains, and the formation of new trade networks globally. India's trade deficit, sectoral vulnerabilities, and rising competition must be addressed strategically. "The challenge will be to minimise the adverse effects, akin to how Lord Shiva confined the poison to his throat without letting it spread," Mahindra said, invoking the mythological reference of Samudra Manthan. But he urged India not to merely mitigate risks but seize this shift as a growth opportunity. "Instead, we can proactively view this as an opportunity to enable some 'Amrit' to emerge," he said. Mahindra emphasised that private enterprise must lead this economic transformation with speed and agility. India could benefit from China's adversarial stance, which may open up new opportunities in supply chains. Mahindra said India must focus on innovation, R&D, and manufacturing to capture market share from global competitors. "Restrictions on China and high tariffs for other competing countries could open new markets for Indian goods," he said. To make the most of the moment, Mahindra warned, India must act swiftly. "Speed and agility are essential, as countries like the Philippines and Vietnam are already touting themselves as future manufacturing hubs. We must act swiftly and strategically to secure our share of the Amrit." Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
29-06-2025
- Business
- Time of India
Globalisation 2.0: India well positioned to emerge as one of new centres of gravity: Anand Mahindra
A growing wave of protectionism is challenging decades of liberal trade order, dramatically highlighted by the Trump's tariffs, but economic nationalism does not spell the death of globalisation rather it heralds its rebirth, presenting an opportunity for India to emerge as a vital player, according to M&M Ltd Chairman Anand Mahindra . In his address to shareholders in Mahindra & Mahindra (M&M) Annual Report for 2024-25, Mahindra, said "India, too, will face challenges" due to the ongoing global turmoil in the midst of a growing wave of protectionism. He said globalisation is evolving and the US market centrality and China-centric supply chains are being replaced by multi-polar, regional collaborations. As structural and political uncertainties diminish US dominance, alternative capital destinations are emerging, Mahindra noted. Similarly, global supply chains are diversifying away from China, creating new trade partnerships. Lower tariff barriers among regional partners may emerge, boosting free trade and reshaping international trade centres of gravity. Live Events "Ironically, the US shift toward de-globalisation may lead to a new avatar of globalisation 'multi-polar, regional, and driven by domestic imperatives. In such shifting sands, I believe India is well-positioned to emerge as one of the new centres of gravity," Mahindra asserted. He further said, "We are a stable democracy, generally regarded as a trustworthy partner, and are bolstered by a strong military that is not politicised." Referring to Pakistan, he said, "The situation with our provocative neighbour is always volatile, but I am optimistic that we can demonstrate the limits to our tolerance without impeding our path to economic ascendance." These implications offer a portal to a stronger future for India and Indian companies, he noted, adding "but the future remains uncertain." On how the Mahindra group should navigate these turbulent waters, he said, "Whether it be a country or a business, the winners will be the ones who can successfully navigate uncertainty and ambiguity -- the ones who are resilient." Referring to the current global situation, he said it remains fluid. Recent US-China tariff talks and strengthened trade ties with the UK suggest a pragmatic layer to US trade policy, combining protectionism with strategic global engagement. "However, there remains a strong likelihood of significant decoupling between the US and China, he added. Whatever the outcome, it is apparent that many nations will have to swallow some "poison", Mahindra said adding, "international trade has already slowed amidst heightened uncertainty and dampened investor confidence." Noting that industries reliant on global supply chains -- like electronics and consumer goods -- will bear the brunt of rising input costs, Mahindra said "countries deeply integrated into global trade networks must rethink dependencies and diversify sourcing." Established geopolitical alliances are being realigned, ushering in a new era of economic nationalism. Businesses worldwide will adapt by localising operations, re-engineering supply chains, and exploring alternate markets. "India, too, will face challenges. Our large trade deficit, vulnerabilities in certain sectors, increased competition among nations, and uncertainties affecting GDP aspirations are all challenges that must be met," Mahindra said. He pointed out that key industries, such as steel and aluminium, could face headwinds, and export volumes may be impacted. "The challenge will be to minimise the adverse effects, akin to how Lord Shiva confined the poison to his throat without letting it spread (during Samudra Manthan)," Mahindra said. He cautioned against focusing solely on mitigation saying it reflects a reactive mindset. "Instead, we can proactively view this as an opportunity to enable some 'Amrit' to emerge," he said, suggesting to "seize this challenge as an opportunity to accelerate economic growth exhorting private enterprise to play a pivotal role in this transformation. Mahindra noted that China's adversarial stance may create opportunities for India to position itself as a supply chain alternative -- a long-term goal for Indian business. "Innovation and R&D could receive renewed focus, while manufacturing could once again take centre stage. Restrictions on China and high tariffs for other competing countries could open new markets for Indian goods," he said. While the potential exists, he said achieving it will require a concerted focus on manufacturing and a palpable increase in private investment. "Speed and agility are essential, as countries like the Philippines and Vietnam are already touting themselves as future manufacturing hubs. We must act swiftly and strategically to secure our share of the Amrit," Mahindra said.
