Hailing the robust economic and trade ties between India and Japan, Prime Minister Narendra Modi on Friday said that with renewed efforts, both nations can diversify their trade basket, make it more balanced, and open up new frontiers.
In an interview with Japanese newspaper The Yomiuri Shimbun, the Prime Minister said, “We must aim bigger and remain ambitious. The synergies across governments, businesses and people can create scale and speed in our economic partnership. As the world’s leading economies, we have been contributing to each other’s growth, competitiveness and dynamism.”
Japan has been a trusted partner in India’s infrastructure development for decades and remains a leading source of foreign direct investment (FDI) in sectors such as automobiles, electronics, telecom, chemicals, finance, and pharmaceuticals. The number of Japanese firms in India has steadily grown to around 1,500, while more than 400 Indian companies now operate in Japan.
PM Modi said that bilateral trade relations have not yet reached the levels envisaged under the Comprehensive Economic Partnership Agreement (CEPA). He expressed confidence that while the 20th century saw Japan emerge as a key partner in India’s infrastructure growth, the 21st century would see Japan as a vital partner in India’s innovation, manufacturing, and global value chains.
On semiconductors, the Prime Minister said India is on the cusp of transformation, with six units already being set up and four more on the way. “By the end of this year, ‘Made in India’ chips will enter the market, a clear demonstration of India’s design and manufacturing capabilities,” he stated. He underlined that Japanese firms, with their advanced technologies, could play a pivotal role in building a resilient semiconductor ecosystem, which he described as a major pillar of the India-Japan partnership.
Highlighting India’s reforms to ease manufacturing, PM Modi said many global firms, including Japanese companies, are setting up production bases in India not only for the domestic market but also to serve third-country markets like Africa.
This week, Suzuki Motor Corporation announced plans to invest Rs 70,000 crore in India over the next five to six years to expand production, introduce new models, and strengthen its leadership in the world’s third-largest automobile market. “Just a couple of days back, I was at the Suzuki plant in India where we flagged off electric vehicles for export to a hundred countries, including Japan,” the Prime Minister said.
— IANS