Tariff Update: Now Japan will invest in India, Modi responds to Trump’s tariff.
Tariff Update: Answer to Trump’s tariff? Not Russia, Japan made a big announcement of investment in India, now Trump will get a big shock.
Japan investment in India : From tomorrow, America will levy a total tariff of 50 percent from India. Trump has imposed an additional 25 percent tariff on India with the aim of creating tension in Russia-India relations. But instead of bowing down to Trump, India is making trade agreements with other countries. Giving a strong response to Trump’s tariff, India is going to make trade agreements with Russia, China and now Japan.
Japan has announced to invest 10 lakh crore yen (about 68 billion dollars) in India in the next 10 years. This will strengthen bilateral trade relations between the two countries. This investment of Japan in India can outweigh Trump’s policy of creating pressure.
Japan will double investment in the next 10 years
Japan plans to double its private sector investment in India in the next ten years. Japanese Prime Minister Shingeru Ishiba is expected to announce this during Prime Minister Modi’s two-day visit to Japan. The two countries are going to make a joint declaration for defense cooperation for the first time in 17 years. This agreement will play an important role in dealing with the challenges facing the defense sector in both the countries.
Japan will invest in this segment
Tokyo plans to invest in sectors such as semiconductors, telecom, minerals, clean energy, pharma and AI in India. Apart from this, Japan hopes to leverage India’s talent. According to Japanese media reports, India is the world’s most populous country and has a pool of talented engineers.
Tokyo is focusing on educating its talent and leveraging them among Japanese companies in India. Japan is likely to face a manpower shortage of 7.90 lakh by 2030. To overcome this shortage, it aims to double the number of Indian talent. Additionally, Japan also plans to invest in Indian startups.
