India has not told big retailers such as Amazon and Walmart’s Flipkart ( see article: A Flipkart Supermarket for more) that they have to abide by new international investment rules. This is to discourage them from providing steep discount rates and not allowing local business and small traders from being dominated by these foreign retailers. Amazon and Flipkart have argued that they have done nothing wrong, and are also backed by the US government.
India has done this mainly to protect their local business, and also due to the tensions between USA and India. ( See article: Trade War Part Three? For more) After the sanctions tension by USA, India has added many new international regulations for trade and foreign companies.
What do you think? Will this Trade War end? Or will sanctions keep growing on all US companies seeking entry in India? Stay tuned to find out.