new delhi india is weighing offering incentives to attract companies moving out of china amid its trade war with the us a person familiar with the development saidfinancial incentives such as preferential tax rates and the tax holiday provided by vietnam to lure companies are among measures being considered the person said asking not to be identified as the discussion is still private industries identified for incentives include electronics consumer appliances electric vehicles footwear and toys according to a trade ministry document seen by bloombergeconomies including vietnam and malaysia have benefited from businesses trying to sidestep tariffs while india has largely missed out on any investment gains the trade ministrys effort is part of a larger plan to cut reliance on imports while boosting exports and needs finance minister nirmala sitharamans approvalthe trade ministry didnt immediately respond to an email and a call seeking commentother measures include setting up affordable industrial zones across indias coastline and giving preference to local manufacturers in government procurement as an incentive to win over companies looking for an alternative production base according to the trade ministry document circulated to stakeholdersthe plan will help grow indias manufacturing base and will aid prime minister narendra modis flagship make in india initiative which aims to boost manufacturing to 25 of the economy by 2020 doing that will help india narrow its huge trade deficit with china its largest commercial partnera sectorwise analysis by the industry department which oversees the foreign direct investment policy shows investments by chinese companies can flow into smartphones and components manufacturing consumer appliances electric vehicles and parts and daily use items like bed linen and kitchenware 95 of which are currently imported from chinathere is also an effort to step up exports in sectors vacated by the us due to the trade standoff the government has identified more than 150 items where it feels exporters can increase business with china some of these are prepared or preserved potatoes synthetic staple fibers of polyesters and tshirts hydraulic power engines and supercharger for motors