China's new export-licensing rules, set to take effect on November 18, could affect machinery used in Indian railway, metro and road projects
China's new export-licensing rules, set to take effect on November 18, could affect machinery used in Indian railway, metro and road projects-

'Won't bow down to China, India will build its own tunnel-boring machines', says Goyal

Commerce Minister had said India would develop domestic manufacturing capabilities if Beijing restricted exports of specialised tunnelling equipment

Union Commerce and Industry Minister Piyush Goyal on Tuesday asserted that India would develop and manufacture its own tunnel-boring machines rather than depend on China if Beijing restricted supplies of the specialised equipment, stressing that the country would not compromise its technological self-reliance.

Speaking at the Young Leaders Discourse Forum at Kirori Mal College in Delhi, Goyal said India would pursue domestic manufacturing instead of accepting unfavourable arrangements to secure access to critical machinery.

โ€œRegarding tunnel-boring machines, India's approach is different. Many other countries might bow down and enter into agreements,โ€ he said.

The minister, however, clarified that India was not seeking confrontation with Beijing and wanted to maintain constructive bilateral relations.

โ€œWe do not wish to spoil relations with anyone; even today, our relations with China remain good,โ€ Goyal said, adding that India would develop the equipment domestically if China refused to supply it.

His remarks came amid reports that Beijing was tightening export controls on specialised construction machinery, including tunnel-boring machines used for underground infrastructure projects.

๐—–๐—ต๐—ถ๐—ป๐—ฎ'๐˜€ ๐—ป๐—ฒ๐˜„ ๐—ฒ๐˜…๐—ฝ๐—ผ๐—ฟ๐˜ ๐—ฟ๐˜‚๐—น๐—ฒ๐˜€

China's new export-licensing requirements are scheduled to take effect on November 18 and will cover specialised equipment used to construct tunnels for highways, railway lines and metro networks.

The restrictions will also apply to certain machinery used for spraying concrete at high altitudes, along with specified spare parts.

Beijing has cited the potential civilian and military applications of such equipment as a reason for tightening export oversight, particularly in countries and regions involved in territorial disputes with China.

The development has implications for India, which has been expanding strategic road and railway connectivity, including infrastructure projects in areas close to the Himalayan border.

China accounts for approximately 70 per cent of the global tunnel-boring machine market, according to Chinese state media figures cited in international reports.

๐—š๐—ผ๐˜†๐—ฎ๐—น ๐—ฐ๐—ถ๐˜๐—ฒ๐˜€ ๐—ฟ๐—ฎ๐—ฟ๐—ฒ ๐—ฒ๐—ฎ๐—ฟ๐˜๐—ต ๐—ฒ๐˜…๐—ฎ๐—บ๐—ฝ๐—น๐—ฒ

Goyal drew parallels with China's earlier restrictions on rare earth exports, saying India had responded by encouraging domestic innovation rather than seeking concessions.

โ€œWhen they restricted rare earths, we did not go around begging,โ€ the minister said.

He said the government had engaged with Indian startups to explore alternatives to motors dependent on rare earth materials, which are widely used in several advanced industrial applications.

According to Goyal, some Indian startups had already begun developing motors that did not require rare earths while offering comparable quality and efficiency.

The minister presented these developments as examples of India's ability to respond to external supply restrictions through technological innovation and domestic manufacturing.

๐—œ๐—ป๐—ฑ๐—ถ๐—ฎ๐—ป ๐—ถ๐—ป๐—ณ๐—ฟ๐—ฎ๐˜€๐˜๐—ฟ๐˜‚๐—ฐ๐˜๐˜‚๐—ฟ๐—ฒ ๐—ฝ๐—ฟ๐—ผ๐—ท๐—ฒ๐—ฐ๐˜๐˜€ ๐—ณ๐—ฎ๐—ฐ๐—ฒ ๐—ฟ๐—ถ๐˜€๐—ธ๐˜€

Tunnel-boring machines are essential for large underground infrastructure projects, particularly metro rail systems, railway tunnels and major transport corridors.

India has previously faced difficulties obtaining such equipment from China. In 2024, Chinese authorities delayed the supply of machines by German manufacturer Herrenknecht for Indian infrastructure projects, including the Mumbai-Ahmedabad high-speed rail corridor and Delhi Metro.

Industry experts have warned that restrictions on spare parts could create additional complications, particularly for machines already deployed at construction sites.

Ajay Srivastava, founder of the Global Trade Research Initiative, said machines could be reassigned between priority projects if necessary, but maintaining existing equipment would become difficult without regular access to replacement components.

The issue is particularly important because tunnel-boring machines experience considerable wear and tear during excavation and require specialised parts for continued operation.

Restrictions affecting these components could therefore disrupt project schedules even where machinery has already been installed.

๐—ฃ๐˜‚๐˜€๐—ต ๐—ณ๐—ผ๐—ฟ ๐—ฑ๐—ผ๐—บ๐—ฒ๐˜€๐˜๐—ถ๐—ฐ ๐—บ๐—ฎ๐—ป๐˜‚๐—ณ๐—ฎ๐—ฐ๐˜๐˜‚๐—ฟ๐—ถ๐—ป๐—ด

Goyal's remarks underline the government's emphasis on reducing dependence on imported technology and developing domestic capabilities in strategically important sectors.

Manufacturing tunnel-boring machines within India would require advanced engineering expertise, specialised components and a supporting industrial supply chain.

Although the minister expressed confidence in India's ability to develop such machinery, he did not announce a specific manufacturing programme, investment commitment or timeline for domestic production.

The proposed shift towards indigenous manufacturing comes as countries reassess their dependence on Chinese suppliers for critical industrial equipment and technologies.

For India, the immediate challenge will be to maintain access to machinery and components required for ongoing infrastructure projects while developing alternatives that could reduce reliance on foreign suppliers over the longer term.

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