Modi-Takaichi talks: India, Japan sign first joint defence tech project, aim to boost chip supply chains

India and Japan have agreed to significantly expand cooperation in advanced technologies, defence and economic security, signalling a stronger strategic partnership as both countries seek to navigate an increasingly uncertain global landscape.

Following bilateral talks in New Delhi on Thursday, Prime Minister Narendra Modi and his Japanese counterpart Sanae Takaichi announced a series of initiatives spanning semiconductors, quantum technologies, clean energy, supply chains and defence manufacturing. The agreements were unveiled during the 16th India-Japan Annual Summit, where both leaders reaffirmed their commitment to broadening cooperation across sectors critical to future economic growth and regional stability.

Addressing the media after delegation-level discussions at Hyderabad House, Modi said technology has emerged as one of the defining pillars of the India-Japan relationship, reflecting the evolving nature of the two countries' Special Strategic and Global Partnership.

Referring to his recent participation at the G7 Summit, the Prime Minister emphasised the importance of trust in international partnerships. "Just a few days ago at the G7 Summit, I remarked that in today's climate of global turbulence, mutual trust is our greatest strategic asset. I am proud that the India-Japan partnership fully lives up to this standard," he said.

More from Tech

Defence, advanced technologies and supply chains take centre stage

A major outcome of the summit was the launch of the first joint defence technology co-development project between India and Japan, marking a new phase in military and strategic cooperation.

Announcing the initiative, Modi said the project would support the joint development of defence technologies while contributing to regional peace, maritime security and a rules-based international order. Both countries also reiterated their shared commitment to maintaining a free, open and rules-based Indo-Pacific, a principle that has increasingly shaped their strategic engagement.

Beyond defence, the two governments introduced a roadmap aimed at strengthening long-term economic resilience. The plan focuses on collaboration in semiconductor manufacturing, quantum technologies and the creation of more resilient global supply chains, areas that have become strategic priorities amid geopolitical tensions and disruptions to international trade.

Energy security also featured prominently in the discussions. Modi announced the launch of the India-Japan Biogas Initiative, under which biogas plants will be established across India to support cleaner energy production, improve rural livelihoods and promote sustainable development. The leaders also agreed to deepen cooperation in the wider clean energy sector.

Investment momentum continues as partnership expands

Economic cooperation remained another key focus of the summit, with both leaders highlighting growing business engagement between Indian and Japanese companies.

According to Modi, nearly 120 new commercial agreements have been signed over the past year, bringing investments worth close to USD 10 billion into India. He also reaffirmed the long-term objective of attracting 10 trillion yen in Japanese investment over the coming decade, underscoring Tokyo's continued role in India's industrial and manufacturing ambitions.

Welcoming Takaichi on her first official visit to India since taking office, Modi described her as Japan's first woman Prime Minister and praised her leadership. He also noted her connection to Nara Prefecture, describing it as an important symbol of the centuries-old Buddhist and cultural links shared by the two countries.

Japan has remained one of India's closest economic partners for decades, contributing significantly to sectors ranging from automobiles and electronics to infrastructure development. Modi said the latest agreements represent the beginning of a new chapter built on that longstanding relationship of trust.

Takaichi's three-day visit, from July 1 to July 3, includes discussions on the full spectrum of bilateral cooperation as well as regional and global developments.

The Indian delegation at the summit included External Affairs Minister S Jaishankar, National Security Adviser Ajit Doval and Foreign Secretary Vikram Misri, among other senior officials. Earlier in the day, the Japanese Prime Minister received a ceremonial welcome at Rashtrapati Bhavan.