What changes when land-border-country capital is involved?
Summary
Until now, investment involving China or other bordering countries needed approval across the board. Since the March 2026 amendment, up to 10% non-controlling beneficial ownership goes through the automatic route, and designated manufacturing sectors get a 60-day review.
Key points
- Beneficial ownership is assessed at investor level
- Capital goods, electronic capital goods, electronic components, polysilicon and others are designated
- In designated sectors the Indian side keeps majority stake and effective control
For Korean companiesAsk for the shareholder structure of your JV partner or supply counterpart, and build any possible approval into your schedule.