Cheaper chinese power equipment imports a big issue for domestic industry: IEEMA

Saturday, October 26, 2013: Indian Electrical & Electronics Manufacturers Association (IEEMA), the electrical equipment makers body has said that in order to protect the interests of local players in the power sector, which faces competition from cheap Chinese imports, the government should take steps to ensure a level playing field for everyone.

IEEMA has sad that the problems that the industry faces is more structural in nature and need immediate government intervention.

The cheaper power equipment imports from China put a dent in the domestic industry. The body has made representations to the government in this regard.

Raj H Eswaran, president, IEEMA told media, “We are not opposed to the move of the government to have service centres (for Chinese equipment)… All we are saying is that the government should create a level playing field.”

When PM Manmohan Singh visited China in the beginning of this week, it was decided that Chinese suppliers/ manufacturers will be setting up power equipment service centres in India, themselves or through some suitable mechanism.

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These service centres are to be adequately provided with equipment, personnel, spares and other facilities so as to enable them to provide all requisite spars and services support within India, reported Business Standard.

India is clearly a very important market for Chinese power equipment makers. Reportedly, during the 11th Five Year Plan period (2007-12) about 18,000 MW of thermal projects in the country were commissioned using the Chinese gear. Additionally, almost 40,000 MW of power projects are under construction using China-made equipment at present.

IEEMA has said that it will be organising ‘ELECRAMA’ exhibition in January next year in Bengaluru. The event would showcase domestic products related to power transmission and distribution segments, among others.

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