India-Japan Relations: Key Projects, Bullet Train Updates & Strategic Cooperation

India and Japan officials discuss major infrastructure projects, bullet train updates, supply chain issues, defense ties, trade cooperation, and future collaboration in technology and energy ahead of PM Modi's Japan visit.

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Context

  • Ahead of Prime Minister Narendra Modi's visit to Japan next month, Foreign Secretary Vikram Misri met with visiting Japanese Vice-Minister Takehiro Funakoshi in Delhi on Monday to discuss strengthening ties, upcoming projects and smoothing out supply chain issues. 
  • Both sides are understood to have discussed the latest developments in the Shinkansen Bullet train project to connect Ahmedabad (Sabarmati) and Mumbai, including Japan's decision, reported by the Japan Times earlier this year, to gift India two of its latest E-10 Shinkansen trains, which will be simultaneously introduced in Japan and India. 

India And Japan Relations

  • Historical-Exchange between Japan and India is said to have begun in the 6th century when Buddhism was introduced to Japan. Indian culture, filtered through Buddhism, has had a great impact on Japanese culture, and this is the source of the Japanese people's sense of closeness to India.
  • Prominent Indians linked to Japan include Swami Vivekananda, Rabindranath Tagore, JRD Tata, Netaji Subhash Chandra Bose, Rash Behari Bose, and Justice Radha Binod Pal.
  • Symbolic gestures such as Prime Minister Nehru’s elephant donation to Tokyo’s Ueno Zoo in 1949 reflect enduring friendship.
  • Investment & ODA: Japan remains a major source of foreign direct investment (FDI) and Official Development Assistance (ODA) for India, funding critical infrastructure projects (e.g., metros, roads, bridges, smart cities).

Defence Cooperation

  • India-Japan Defense and Security partnership forms an integral pillar of bilateral ties.
  • India-Japan defense exchanges have gained strength in recent years due to growing convergence on strategic matters and its significance is growing from the common outlook on issues of peace, security and stability of the Indo-Pacific Region. 
  • A Joint Declaration on Security Cooperation (JDSC) between India and Japan was signed in 2008.
  • JIMEX is a bilateral maritime exercise between the Indian Navy and the Japan Maritime Self-Defense Force (JMSDF).

Maritime Security

  • Strong convergence on ensuring freedom of navigation and adherence to international law in the Indo-Pacific, particularly in response to challenges in the South and East China Seas. 
  • Information sharing and maritime domain awareness cooperation are deepening. 

Economic and Commercial Cooperation

  • India-Japan Comprehensive Economic Partnership (CEPA) Agreement came into effect from 1 August 2011.
    • The Agreement covers not only trade in goods but also services, movement of natural persons, investments, intellectual property rights, custom procedures and other trade related issues. 
  • Japanʼs bilateral trade with India totaled US$ 22.85 billion during FY 2023-24.
    • Exports from Japan to India during this period were US$ 17.69 billion and imports were US$ 5.15 billion. 
    • Today, India ranks 18th in Japanʼs total trade with 1.4% share while Japan ranks 17th in Indiaʼs total trade with 2.1% share.
    • Collaboration is accelerating in renewable energy (solar, wind), green hydrogen, ammonia, and carbon capture. Japan's expertise and finance are vital for India's energy transition goals.
  • Cooperation in 5G, telecom security, Al, and cybersecurity is expanding, with joint working groups driving collaboration.

Challenges in Relations

  • Pace of major infrastructure projects (like the bullet train), differences in approach to the Russia-Ukraine war (though managed pragmatically), navigating complex regional geopolitics, and enhancing trade volumes relative to potential.

Way Forward

  • Immense scope for collaboration in emerging technologies (Al, quantum, robotics), defense cо-development/manufacturing, healthcare, aging society solutions, climate tech, and deepening economic integration within the Indo-Pacific framework.
  • Recent developments clearly indicate that the IndiaJapan partnership is on an upward trajectory, characterized by increasing strategic trust, robust economic engagement, and expanding security cooperation.
  • Both nations recognize each other as indispensable partners in ensuring a stable, secure, and prosperous Indo-Pacific region.
  • While challenges exist, the shared vision, growing convergences, and sustained high-level engagement provide a strong foundation for the relationship to reach even greater heights in the coming years, making it a cornerstone of the evolving regional order.


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