Power deals: Blacklisted Chinese firms winning contracts give stiff competitions to local players
Chinese companies that are said to be blacklisted in their country have won several contracts to supply equipment to the Indian power transmission sector, giving local firms stiff competition by beating them on price.
The local companies warn that their rivals sell substandard products. Vendors from the neighbouring country have vanished from the main generation equipment markets in India as private companies have barely issued tenders in the last six years, but have strengthened their presence in transmission and distribution gear.
“Most of the current Chinese suppliers have been blacklisted in their own country due to various issues including quality and inability to deliver on time, thereby causing significant project delays,” an industry source said. “Some of the Chinese players, which are aggressive in the Indian gas-insulated substation segment, are facing disqualification and have been blacklisted in China.”
The Chinese companies couldn’t be immediately reached for comment.