India is not even in a condition to start a trade war with China when its trade deficit is accounting to ~$53B. If China does hit back, the impact is going to be massive.
67% of drugs, 60% of electronics, 76% of smartphones come from China. India spends a huge $70B in imports from China.
We can solve this by:
Diversifying imports by signing Free trade agreement with partner nations to relax on the import tariffs
Being a better Democratic alternative to China
Make in India was a failure. When the world hit back on China, India was the best alternative. But they went to Southeast Asian countries. Govt should strive to improve Ease in doing business and being competitive in the global market.
When we look at a Boycott Strategy, ideally it should go in the below order
1. Chinese Companies
2. Made in China Products
3. Products with Chinese Parts
4. Companies with Chinese Investments
Going from the bottom randomly would severely impact the startup ecosystem in the country. When India gave loans to Nirav Modi and Mallya, Chinese investors stepped in to fund 2/3rd of the startups in India.
As consumers, we should reduce our dependency starting with Chinese Companies, not Companies with their investments.