New York, September 29, 2026 (Yes Punjab News)
Japanese companies are showing growing interest in setting up operations in India, including in semiconductors and advanced manufacturing, as the two countries deepen their investment and security partnership, External Affairs Minister S. Jaishankar said in New York.
Speaking at an event, Jaishankar said investment, rather than trade alone, was increasingly defining the economic relationship between India and Japan. He said Japanese businesses were also recognising the value of having multiple production bases as they diversify their supply chains.
“Ours with Japan is more investment centric,” he said, adding that the investment relationship was expanding as companies looked to diversify production.
Jaishankar identified semiconductors, chemicals and other advanced manufacturing sectors as areas attracting interest. Japanese companies, he said, were exploring ways to leverage Indian talent and collaborate with Indian businesses.
“I can see Japanese companies really setting up shop in India,” he said, referring to operations based on Indian skills and partnerships.
The minister said bilateral cooperation was also expanding in defence and security. India and Japan are maritime powers with shared interests in the Indo-Pacific, while their longstanding relationship provided a strong foundation for greater security cooperation.
Japan, Jaishankar said, had enjoyed broad acceptance across India’s political spectrum for decades. He said this, combined with the countries’ geographical positions and shared challenges, had helped their security relationship develop.
He pointed to an increase in military exercises and other joint activities. Building a defence trade relationship with Japan was not easy, he said, making the expansion of such engagement significant.
Jaishankar also referred to an exercise by the Japanese Air Force in India, although he said he was unsure whether it had taken place late last year or early this year. He described such developments as significant by Japanese standards.
The Quad provides another framework for expanding cooperation, Jaishankar said. India and Japan are members of the grouping along with Australia and the United States.
He said the relationship extended beyond governments and companies. India wanted greater exchanges and more Indian students to study in Japan, while noting that the current number of Indian students there remained low.
Demand for Japanese-language education in India was also increasing, he added.
Jaishankar’s remarks came in response to a question about the role of the India-Japan partnership in the wider Indo-Pacific. He linked the economic and security dimensions of the relationship, saying companies were seeking additional production options while both governments saw value in expanding partnerships.
Japan has long been an important investor in Indian infrastructure and industry. The two countries continue to maintain diplomatic, economic and security exchanges alongside their cooperation through the Quad.
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