Modi’s Japan trip
Amid worries about global trade disruptions brought on by the Trump administration’s hefty import charges, Prime Minister Narendra Modi’s two-day state visit to Tokyo on Friday could significantly increase bilateral trade between India and Japan.
During the biennial India-Japan Summit, which takes place from August 29 to 30, the prime minister is leading a high-level group of government and business representatives. In addition to his discussions with Japanese counterpart Shigeru Ishiba on bilateral trade and other pressing international issues, Modi is anticipated to attend a business leaders’ roundtable, which is one of the trip’s main attractions.
Japan is anticipated to pledge to quadruple its investment target in India during the talks, which are scheduled for the opening day of the PM’s trip. The two countries are also expected to disclose a number of agreements to boost cooperation in a variety of areas, including commerce, investment, defense, and science and technology. In Tokyo, PM Modi will also meet with political and business heavyweights from Japan.
Prime Ministers Modi and Ishiba are expected to take the high-speed train to Sendai city on the second day of his tour in order to visit a semiconductor complex.Given that both countries must deal with heavy US duties, the summit takes on significance. A 50% tax on goods valued at $66 billion is imposed on India.
PM Modi’s second stop on the tour will be Tianjin, China, where he will attend the Shanghai Cooperation Organization’s (SCO) annual summit on August 31 and September 1.
India-Japan commerce has increased 36% in the last five years.
Japan imported $6.87 billion from India in 2024, bringing commerce between the two countries to $25.6 billion, a 36% rise from 2021, according to the Japanese Foreign Ministry. With 1,439 Japanese companies working in industries like infrastructure, electronics, and autos, Japan ranked as India’s fifth-largest investor with $6 billion in direct investment in 2024.
The Summit in Tokyo
The goal of the 15th India-Japan Annual Summit in Tokyo is to broaden CEPA to cover digital trade as well as rare earth and essential minerals. The summit will be critical for both nations, with looming global trade uncertainties. With an emphasis on landmark projects like the Mumbai-Ahmedabad high-speed train, Modi and Ishiba will assess advancements in commerce, defense, and technology.
Supported by Japan’s ₹47,754.6 crore loan in 2023 under the Official Development Assistance (ODA), the leaders are scheduled to visit the Tohoku Shinkansen rail plant in Miyagi Prefecture on August 30 and are anticipated to sign an agreement for E-10 carriages for a bullet train by 2030.
