Society of Indian Automobile Manufacturers on Friday said that the government should make sure that the proposed Regional Comprehensive Economic Partnership (RCEP) does not lead to job losses in the sector or impact the ‘Make in India’ initiative.
The statement comes at a time when Commerce Ministry Piyush Goyal is in Bangkok for the ninth Intersessional Ministerial Meeting on RCEP from October 11-13. The meeting is crucial as RCEP is scheduled to be announced as concluded in November 2019.
Responding to a query on RCEP, Rajan Wadhera, president, SIAM, said, “Being a part of global trade, there are gives-and-takes. What we are only saying is that the government should be mindful of two things and I am confident that the government is. Any such thing (RCEP and free trade agreements) should not result in job losses and hurt Make in India.”
He added that the industry has said that under RCEP, import of completely built units or CBUs must not allowed. “If cars come from there, what will we do in factories here?” he asked.
The RCEP is a proposed free trade agreement between India, China, Japan, South Korea, Australia, New Zealand and the ten member-States of the ASEAN (Association of South East Asian Nations) grouping.