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Home » India, Japan Strengthen Ties as China Tensions Rise

India, Japan Strengthen Ties as China Tensions Rise

The flags of India and Japan interposed against each other diagonally

Photo: iStock / Oleksii Liskonih

July 3, 2026
SupplyChainBrain

India and Japan have signed agreements to cooperate on artificial intelligence, rare minerals and national defense.

According to The New York Times, the pacts followed a bilateral meeting between India's Prime Minister Narendra Modi and Japanese Prime Minister Sanae Takaichi in New Delhi. As part of the agreements, the two nations agreed to strengthen their supply chains for semiconductors and critical minerals, while deepening collaboration on AI, and developing a joint roadmap for economic security.

"Japan and India will leverage each other's strengths to ⁠grow strong and prosperous together," Takaichi told reporters. "Amid a turbulent international landscape, building such a mutually complementary cooperative relationship has become increasingly important."

The agreements come at a time when Japan is looking to strengthen ties with trusted allies like India, as tensions with China continue to rise. In late June, China imposed export controls against 40 Japanese firms, in response to Japan's recent bid to ramp up its defense spending. Since taking office, Takaichi has also spoken frequently of her concerns regarding a potential Chinese invasion of Taiwan, warning lawmakers in November 2025 that instability in the Taiwan Strait would have far-reaching consequences for Japan and the broader region.

India and Japan have a history of carrying out joint military exercises, while Japan has consistently been one of India's most prominent foreign investors. Bilateral trade between the two countries rose to nearly $27.5 billion in the 2025-2026 fiscal year, from $25.2 billion in 2024-25, and $22.9 billion in 2023-24. 

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