India and Japan Aim to "Shape the Asian Century," Says PM Modi

TDT | Manama

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India and Japan are set to strengthen their partnership, with Prime Minister Narendra Modi saying the two countries will "shape the Asian Century." Speaking at a business forum in Tokyo on Friday, Modi emphasized the strategic and economic ties between the nations.

“India is the springboard for Japanese businesses to the Global South. Together, we will ensure stability, growth, and prosperity in Asia,” Modi said.

During his two-day visit, Japan is expected to announce 10 trillion yen ($68 billion) in investments over the next decade, focusing on areas such as artificial intelligence, semiconductors, and critical minerals. Bilateral trade currently exceeds $20 billion annually, mostly in Japan’s favor.

Japanese Prime Minister Shigeru Ishiba highlighted the growing economic cooperation between the countries. “Japan’s technology, combined with India’s skilled workforce and large market, is creating a rapidly expanding partnership,” Ishiba said.

Both countries have faced challenges from U.S. tariffs, with India’s exports facing 50 percent duties and Japan’s auto sector still under 25 percent tariffs. To address labour shortages in Japan, reports suggest the number of skilled Indians working or studying there will double to 50,000 over the next five years.

Modi and Ishiba are also set to visit a semiconductor facility and a "shinkansen" bullet train factory. Japan is expected to assist in India’s planned 7,000-kilometre high-speed rail network by 2047, although previous projects, like the Mumbai–Ahmedabad line, have faced delays and cost overruns.

The two countries, members of the Quad alliance with the U.S. and Australia, are also likely to update their 2008 security cooperation agreement.

After Japan, Modi will attend the Shanghai Cooperation Organisation summit in China, his first visit since 2018, where he will meet Chinese President Xi Jinping and Russian President Vladimir Putin. The visit comes amid ongoing rivalry between India and China, including a deadly border clash in 2020, although recent talks have shown signs of improvement.