India is just doing what they always do. Excessive trade protectionism. That is why so many of their companies cannot innovate and become competitive. A nice example is their auto-sector.to derail abit from the topic, India has never been serious about getting into RCEP. India is demanding all the party nations to recognise her underqualified nursing/programming degrees and fulfill a quota to import Indian human resources(yes there is a min yearly quota, Singapores signed CECA) so that she can solve the domestic unemployment problem at the detriment of other nations. Yet on the other hand, India refuse to open up her manufacturing sectors to international competitive. Japan is at a loss because India pull out of the talk, ending any hope of counterbalancing China's growing trade influence with South East Asian.
As for India's industrialisation attempt with no competition to shape up domestic players..lol good luck
In the 1990s Tata commercial vehicles likes trucks and buses were quite competitive in SEA. They were competing with the likes of Hino, Nissan Diesel, Daewoo, etc. Now, the Japanese brands are still in high demand. But Tata's market share have been almost completely replaced by various Chinese brands. Tata had a great technological head-start, quite ahead of any Chinese brands at one time. But they've squandered this lead. The Chinese brands have already surpassed them in both sales and technology. This is the true result of Indian protectionism: losing competitiveness. India's poor economic standing for a country of so much potential is all self-inflicted.
So, India not joining RCEP is yet another act of protectionism. They cannot compete in the real world, so they decide to close doors again. This is a self-defeating act as history shows. In time, India will find itself isolated. Then we shall see whether India could finally wake up. Or will they continue to blame China and Pakistan?