Tokyo and New Delhi have reached an agreement on large-scale cooperation in the economy, technology, defense, and energy sectors.
Japan and India have agreed to significantly expand collaboration across several key areas simultaneously. Following their annual summit, the parties signed dozens of agreements in the fields of energy, defense, artificial intelligence, quantum technologies, biotechnology, semiconductor production, and pharmaceuticals.
Indian Prime Minister Narendra Modi referred to Japanese Prime Minister Sanae Takaichi as his “younger sister,” recalling their pledge to work together. According to the Indian leader, over the past year alone, companies from both nations have concluded around 120 business deals, which are expected to attract approximately $10 billion in Japanese investments to India. Over the next decade, New Delhi hopes to secure an additional $62 billion, while the number of Japanese companies operating in the country is set to double.
“By combining India’s scale with Japan’s quality, we will provide the world with affordable, reliable, and advanced solutions in healthcare,” Modi stated.
He also emphasized that India intends to merge Japanese expertise in artificial intelligence with its own software development capabilities.
Experts cite the evolving situation in Asia as one of the main drivers of this rapprochement. Japan seeks to strengthen its regional security system amid China’s growing influence, while India is ready to participate in projects aimed at ensuring freedom of navigation in the Indo-Pacific region. In their joint declaration, the leaders expressed concern over the situation in the East China Sea and the South China Sea, opposing any attempts to alter the existing status quo through force or further militarization of disputed territories.
Economic factors behind the cooperation are equally significant. Following China’s tightening of export restrictions on certain Japanese companies, Tokyo is looking for alternative sources of critical resources. India holds the world’s third-largest reserves of rare earth metals, but currently lacks sufficient processing capacity. Japanese technology could help develop this sector, as well as production in semiconductors, electronics, robotics, and other high-tech fields.
In turn, India expects to gain access to cutting-edge Japanese innovations, including in the defense industry. After easing restrictions on arms exports, Tokyo is considering the transfer of certain technologies to foreign partners, which piques New Delhi’s interest.
Beijing has reacted cautiously to the outcomes of the talks. China’s Foreign Ministry stated that the cooperation between the two countries should not be directed against third parties or used to establish closed military-political blocs. Meanwhile, Indian authorities emphasize that they do not intend to confront China, but rather view the partnership with Japan as a way to bolster their own economic and technological capabilities in order to engage with Beijing on an equal footing.
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