India and Japan have signed a series of strategic pacts to further strengthen bilateral ties in various fields, including defence, maritime security and economics. The announcements came as a result of bilateral talks between the India’s Prime Minister Narendra Modi and the Japan’s Prime Minister Sanae Takaichi at the 16th annual India-Japan summit.
As Modi is visiting New Delhi for three days, he stressed on the fact that the economic security shared by both countries is a very important issue. The two leaders therefore agreed on a coordinated action plan for enhancing supply chain and overall economic resilience.
In addition, it was agreed between the two countries to work together on naval radio antenna systems. Their newly extended collaboration will also include key joint developments and advances in the areas of artificial intelligence, shipbuilding, biogas production, semiconductors and other new technologies.
Expanding Indo-Pacific Strategic and Economic Ties
Economic relations are still an important pillar of this bilateral relationship. Japan is now one of India’s biggest foreign investors and provides financial assistance for a number of major infrastructure projects such as the Mumbai-Ahmedabad high-speed rail corridor. There are today about 1,400 Japanese companies in India, of which just about half are in the manufacturing sector.
As per official trade statistics provided by the Ministry of Commerce and Industry, India’s bilateral trade in 2025-26 was valued at $27.5 billion. Also, the total value of Japanese investments in India stood at $3.2 billion in the first half of 2025. This speedy growth matches with the previous commitment made by Tokyo during its visit to India last year, which was to increase its investment in India by more than doubling it to over $61 billion in the coming ten years.
The developments in diplomacy led by the Ministry of External Affairs reflect a shared goal of establishing greater peace and stability in the wider Indo-Pacific region. The two countries are increasingly cooperating strategically in order to maintain a free, open and secure maritime environment.
The Quad – a strategic partnership between the U.S., Australia, India and Japan – is a crucial forum for collaboration. The four-nation pact is effective in the support of regional defense cooperation and maritime security to neutralize the China’s increasing military and economic presence in the Indo Pacific, with the coordinated effort of the security agencies such as Ministry of Defence.
