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International relations

India freezes out Chinese companies from government bidding

New restrictions on 'neighboring countries' crank up pressure amid border standoff

TOKYO -- India has tightened restrictions on Chinese companies seeking to supply goods or services to the government, expanding its economic retaliation against Beijing over a border conflict in the Himalayas.

Procurement regulations revised last week now require businesses in countries that share a land border with India to register with the relevant authorities and receive permission from the external affairs and home affairs ministries before bidding for contracts. This applies to a broad range of public-sector business, including state governments, state-run businesses and banks, and public-private partnerships.

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