CHINA PLUS ONE STRATEGY: INDIA’S OPPORTUNITY TO BRIDGE TRADE GAP WITH CHINA

Abstract

One time China was the imperialism by Japan and it was considered as ailing country of Asia. But after1978 especially when China was entered as member of WTO, not only China has become Asian super powers also it become the cynosure of all eyes in the world. Many Chinese products are captured world market from the help of abundant, productive and cheap availability of labour. Traditional China is known as world factory. Worlds many industries are attracted in China. More than last two-decade China has attracted the huge FDI and industries in their country. But after COVID 19, many industries accepted China plus one strategy and they are avoiding investment only in China and interested diversify business into other developing economy. This research paper has analysis how China plus one strategy is opportunity for India, because traditionally India is known as primary products export oriented country and import of manufacturing products.This paper also explains the India and China’s export competitiveness of manufacturing products in international market by using the Revealed Comparative Advantages (RCA) Index during 2005 to 2023.The result is indicated that India’s many manufacturing products are less competitiveness in global market as compared to China, because RCA value is less than one. However, India can get advantages of China plus one strategy under the Make in India programme. India needs to take advantage of this situation by changes its investment and trade policy also, increase manufacturing products export by giving the brand of ‘Made in India.’