Chinese businesses have already started incorporating entities in India

Expect large Chinese investments amid trade war escalation, says Mahindra. His comments come at a time when the US-China trade dispute escalated on Monday when Beijing announced levies duty on US products of $60 billion

“Even if they settle, a Chinese firm with large exports to the US would be wise to hedge & invest in a subsidiary in India & transfer its scale-manufacturing skills.” “Direct exports would simply become indirect. A wave of Chinese investment in India may be imminent.”

https://www.business-standard.com/article/pti-stories/us-china-trade-war-chinese-investment-in-india-may-be-imminent-says-mahindra-119051501394_1.html