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BHEL stock slumps on China fears: Is the sell-off overdone?

Mint Mumbai

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January 13, 2026

Shares of public sector major Bharat Heavy Electricals Ltd (BHEL) have slid nearly 12% over the past three trading sessions, spooking investors after reports suggested a potential policy shift that could reopen India’s power equipment market to Chinese firms.

- Ashish Agrawal feedback@livemint.com

The concern: renewed competition could dent BHEL's position in the boiler-turbine-generator segment.

But brokerages say the recommendation is unlikely to go through in the current volatile geopolitical environment. Even if the restriction were to be removed, it may have limited impact as the demand for Chinese equipment has waned lately due to quality issues, high downtime, and maintenance costs.

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