India and Japan sealed new cooperation pacts after Prime Minister Narendra Modi met Shunichi Takaichi in New Delhi, targeting artificial‑intelligence, metals, energy and defence. The deal marks a strategic shift, with Japan pledging to more than double its investment in India to $61 billion over the next decade. Bilateral trade reached $27.5 billion in fiscal 2025/26.

Both leaders agreed on three landmark documents covering economic security, energy resilience and AI. Modi highlighted that Japan’s precision technology combined with India’s software expertise will accelerate global AI progress. The first defence co‑development pact, signed during the talks, signals a deepening security partnership within the Quad framework.

Japan remains a top investor, backing major projects like a high‑speed rail corridor between Mumbai and Ahmedabad. Recent Japanese firms also secured a $1.6 billion deal for a 20 % stake in Yes Bank. The delegation, led by Takaichi, will attend a business conference, underscoring commercial momentum.

These agreements position the two economies to jointly shape regional tech and defence landscapes, boosting trade flows and investment. The collaboration tightens India‑Japan ties and strengthens Quad coordination, reinforcing a counterbalance to China’s influence in the Indo‑Pacific.