Prime Minister Narendra Modi has begun his first standalone visit to Japan in nearly seven years, aiming to strengthen bilateral ties, advance India’s national interests, and foster broader regional and global cooperation. Addressing the India-Japan Joint Economic Forum in Tokyo, Modi emphasized Japan’s longstanding role in India’s development journey, citing investments exceeding USD 40 billion in sectors ranging from metro rail to semiconductors and startups. He positioned India as a stable and promising investment destination, highlighting political and economic stability, transparent policies, and the country’s status as the fastest-growing major economy. Modi also announced that private players would soon be allowed into the nuclear energy sector, in addition to defence and space.
India’s ambassador to Japan, Sibi George, noted that discussions between the two countries would extend beyond bilateral agreements to cover plurilateral and multilateral frameworks such as the Quad, which are vital for maintaining a peaceful and stable Indo-Pacific region. George added that the leaders would discuss the broader geopolitical and geo-economic landscape amid US President Donald Trump’s ongoing trade war.
During his two-day visit, Modi is engaging with Japanese business leaders to explore opportunities in trade, investment, and technology. He is expected to announce partnerships for manufacturing next-generation E10 Shinkansen bullet trains in India. Modi’s itinerary also includes meetings with Japanese dignitaries and a visit to the Shorinzan-Daruma-Ji Zen Buddhist temple before attending the India-Japan Annual Summit.
Trade between India and Japan has remained steady, with bilateral trade reaching USD 21 billion in the first nine months of the 2024-25 fiscal year. Japan ranks as India’s fifth-largest source of foreign direct investment, with cumulative investments of USD 43.2 billion as of December 2024. Annual FDI inflows have been strong, amounting to USD 3.1 billion in 2023-24 and USD 1.36 billion in the first three quarters of 2024-25. Modi highlighted the potential to expand cooperation in emerging technologies, including AI and semiconductors.
Following his visit, Modi will travel to Tianjin, China, from August 31 to September 1 for the Shanghai Cooperation Organisation summit, where he is expected to meet Presidents Xi Jinping and Vladimir Putin. Modi emphasized India’s active role within the SCO, citing initiatives in innovation, health, and cultural exchanges, and expressed confidence that his visits to Japan and China would promote regional and global peace, security, and sustainable development.
