India Japan Relations - History, Recent Update, 14th India-Japan Annual Summit, Bilateral Treaties & Agreements

India and Japan’s relations have a long history rooted in spiritual affinities and solid cultural and civilizational ties. Both of these nations share a common desire to enhance Asia’s security, stability, and prosperity and promote world peace and equitable development. 

India Japan Relations are one of the most important topics for the UPSC IAS Examination. It covers a significant part of the International Relations subject in the UPSC (Mains) General Studies Paper-2 syllabus and General Studies Paper 1 (Preliminary).

In this article, we will discuss India Japan Relations, political relations, key takeaways from the 14th India-Japan annual summit, the Quad alliance, challenges, and the way forward.

Recent Update on India-Japan Relations

• The Japanese Prime Minister recently paid an official visit to India for the 14th annual India-Japan Summit.
• The Summit occurred as India was commemorating its 75th anniversary of independence, and both nations were marking the 70th anniversary of the start of diplomatic relations.
• Earlier, at the Ahmedabad Management Association (AMA) in Gujarat, the Indian Prime Minister virtually opened a Japanese “Zen Garden – Kaizen Academy.”
• Australia, Japan, and India recently formally launched the Supply Chain Resilience Initiative (SCRI) to challenge China's hegemony over the Indo-Pacific region's supply chain.

भारत जापान संबंध के बारे में हिंदी में भी जानें!

PM Narendra Modi’s Japan visit

• The Prime Minister of India, Narendra Modi, visited Tokyo for the in-person Quad summit.
• PM Modi had the chance to interact with PM Fumio Kishida, who visited India in March for the 14th annual India-Japan Summit. Additionally, it was the first time since the Ukraine Crisis that US President Biden and I had a face-to-face meeting.
• The Prime Minister’s meetings gave a chance for a political assurance that India was open to business and prepared to listen to Japanese businessmen, ease their work, and welcome their additional investments.

Shinzo Abe Shaped India-Japan Ties

• Abe was one of the most important leaders in Japan's post-war history. He held the position from 2006 to 2007 and then from 2012 to 2020, making him the longest-serving prime minister in Japanese history. Abe had a close friendship with India during his term in office, an India-Japan friendship he invested in, and he had a particularly good relationship with Modi.
• Abe gave the famous “Confluence of the Two Seas” speech in August 2007, during his first visit to India as prime minister, laying the groundwork for his concept of the Indo-Pacific. This idea is now widely accepted and serves as one of the foundations of relations between India and Japan.
• To better address issues like civilian nuclear energy, maritime security, bullet trains, high-quality infrastructure, Act East policy, and Indo-Pacific strategy, Modi and Abe upgraded their bilateral relationship to a “Special Strategic and Global Partnership.”
• India and Japan also established the Act East Forum under Abe’s leadership, and they are currently working on projects in the Northeast that China is closely monitoring. To counter Beijing’s influence, the two nations also planned joint projects in the Maldives and Sri Lanka, among other places.

Historical Background on India Japan Relations

India and Japan’s relationship started in the sixth century when Buddhism was introduced to Japan. Buddhism has greatly influenced Japanese culture, which gives the Japanese people a sense of affinity for India.

In 1949, Jawaharlal Nehru, the Indian Prime Minister, gifted an Indian elephant to the Ueno Zoo in Tokyo after World War II ended, which brought hope to the Japanese people amid the aftermath of the war. On April 28, 1952, Japan and India signed a peace agreement and established diplomatic relations, making it one of Japan's first agreements for peace after World War II. Since then, the two nations have maintained friendly relations. India's iron ore was crucial in Japan's post-World War II recovery from destruction. Following Japanese Prime Minister Nobusuke Kishi's visit to India in 1957, Japan started providing yen loans to India from 1958 onwards.

Key Takeaways from the 14th India-Japan Annual Summit

For the 14th annual India-Japan Summit, the Japanese prime minister recently paid an official visit to India. Some of the key takeaways from this summit are:

Japan’s Investment in India

• 3.2 Japan will invest lakh crores of rupees in India over the next five years.
• 7 JICA (Japan International Cooperation Agency) loans have been approved for various connectivity, water supply and sewage projects, horticulture, healthcare, and biodiversity preservation.
• Japanese companies have signed a Memorandum of Understanding (MoU) to introduce Johkasou technology for decentralized wastewater treatment in India. It is applied in regions without sewage infrastructure yet.

India-Japan Digital Partnership

• With a view to advancing the digital economy through the promotion of joint projects in the areas of IoT (Internet of Things), AI (artificial intelligence), and other emerging technologies, the leaders discussed the “India-Japan Digital Partnership.”
• Japan is eager to hire more highly qualified Indian IT specialists to support its ICT industry.

Clean Energy Partnership

• It was established to promote collaboration in various fields, including developing solar energy, hydrogen, ammonia, storage systems, batteries, and electric vehicle charging infrastructure.
• The goal is to promote manufacturing in India, develop reliable supply chains there, and encourage R&D cooperation (Research and Development).
• The current mechanism of Energy Dialogue will be used to implement it.

Mumbai-Ahmedabad High-Speed Rail (MAHSR)

India appreciated Japan’s assistance with the MAHSR Project and other Metro projects in India and looked forward to the planned Patna Metro preparatory survey.

People to People Engagement

India’s participation in Expo 2025 Osaka, Kansai, Japan, has been confirmed by the Indian Prime Minister as an opportunity to strengthen and further trade, investment, and people-to-people ties between the two nations.

Terrorism

The two leaders reaffirmed their stance on terrorism and condemned terrorist attacks in India, including the 26/11 attacks in Mumbai and Pathankot, and called upon Pakistan to take resolute and irreversible action against terrorist networks operating out of its territory and comply fully with international commitments, including to FATF (Financial Action Task Force).

Nuclear Test Ban Treaty

• The Japanese Prime Minister emphasized the value of implementing the Comprehensive Nuclear Test Ban Treaty as soon as possible (CTBT).
• The goal of the Treaty is to outlaw all nuclear explosions everywhere and by anyone.
• After ratification by each of the 44 States listed in Annex 2 of the Treaty, it will come into effect. The Treaty still needs to be signed by India.

Also, read Group of Fifteen for UPSC here.

Theory of International Relation And Exceptions of India - Japan Relations

• The Theory of International Relations deals with how states and actors interact globally.
• It encompasses various perspectives, including realism, liberalism, constructivism, etc.
• India-Japan relations are a notable exception in the context of international relations.
• Both countries share historical, cultural, and economic ties dating back centuries.
• India and Japan have forged a strategic partnership in recent decades despite being geographically distant.
• They have a mutual interest in countering China's rising regional influence.
• Economic collaboration between India and Japan is significant, with Japanese investment crucial in India's infrastructure development.
• Additionally, India and Japan cooperate in defense and security to enhance regional stability.
• The strong bond between India and Japan showcases the complexities and nuances within the Theory of International Relations.

Bilateral Treaties and Agreements Between India and Japan

Treaty/Agreement	Year
Treaty of Peace (1952)	1952
Agreement for Air Service (1956)	1956
Cultural Agreement (1957)	1957
Agreement of Commerce (1958)	1958
Convention for the Avoidance of Double Taxation (1960)	1960
Agreement on Cooperation in the field of Science and Technology (1985)	1985
Japan-India Comprehensive Economic Partnership Agreement (2011)	2011
Agreement concerning the Transfer of Defence Equipment and Technology (2015)	2015
Agreement concerning Security Measures for the Protection of Classified Military Information (2015)	2015
Agreement on Social Security (2016)	2016
Agreement for Cooperation in the Peaceful Uses of Nuclear Energy (2017)	2017
Agreement concerning Reciprocal Provision of Supplies and Services between the Self-Defense Forces of Japan and the Indian Armed Forces (2021)	2021

India Japan Relations

The relationship between India and Japan has historically been good and has developed into one of great substance and significance in recent years. Japan’s interest in India is growing for a number of reasons, including India’s sizable and expanding market and its resources, particularly its human resources.

Political Relations

• India-Japan political relations were established in 1957 and reached a new level after their Highnesses, the then-Japanese Crown Prince Akihito and Crown Princess Michiko, visited in 1960.
• In the decades that followed, the momentum of the two countries relations could have been more maintained. The next Japanese prime minister to visit India was Yasuhiro Nakasone in 1984, following Hayato Ikeda in 1961.
• In the early 1980s, Suzuki Motor Corporation made a ground-breaking investment in India that revolutionized the automotive industry and introduced cutting-edge technology and management ethics to the country.
• In 1991, when Japan was one of the few nations to bail out India unconditionally during its balance of payments crisis, its friendliness was tested.
• Bilateral relations underwent a significant change at the start of the twenty-first century. The Japan-India Global Partnership in the 21st Century was introduced during Prime Minister Mori’s visit to India 2000.
• 2014 both countries upgraded their relationship to a “Special Strategic and Global Partnership.”
• The Act East Forum, founded in 2017, aims to serve as a forum for India-Japan cooperation under the auspices of India’s “Act East Policy” and Japan’s “Free and Open Indo-Pacific Vision.”

Economic Co-operation

• In India’s economic transformation, Japan is regarded as a crucial partner.
• Recently, the relationship between India and Japan has evolved into a stronger alliance with a clear purpose.
• India’s large and expanding market and resources, particularly its human resources, are among the many factors contributing to Japan’s growing interest in India.
• In the fiscal year 2018-19, Japan and India’s bilateral trade totalled 17.63 billion USD.
• The most extensive of all the agreements India has signed with Japan is the Comprehensive Economic Partnership Agreement (CEPA), which entered into effect in August 2011.
• Japanese FDI has primarily gone into India's automotive, electrical equipment, telecommunications, chemical, and pharmaceutical industries. For example, Suzuki.
• Japanese companies founded around 10 Japan-India Institutes of Manufacturing (JIM) in India.
• The central banks of the two nations can now exchange local currencies for up to $75 billion thanks to a bilateral swap agreement.
• After Singapore and Mauritius, Japan is the third-largest source of FDI ($28.160 billion between 2000 and June 2018) investment into India.
• It is anticipated that the 320 billion yen investment by 57 Japanese companies in India will create at least 3,000 new jobs.
• Japan has invested $90 billion in the Delhi-Mumbai Industrial Corridor.
• Collaboration in the High-Speed Railway between Mumbai and Ahmedabad (MAHSR). The ambitious project is being carried out with nearly 90% Japanese financial and technological support.
• The India-Japan Digital Partnership (I-JDP) was established in October 2018 to advance both current areas of cooperation and new initiatives within the context of cooperation in Science & Technology, with a particular emphasis on “Digital ICT Technologies.”

Cultural Cooperation

• The establishment of diplomatic relations between Japan and India 60 years ago was commemorated in 2012.
• Under the theme of “Resurgent Japan, Vibrant India: New Perspectives, New Exchanges,” several cultural events were held in Japan and India to foster understanding between the two nations.
• To further promote people-to-people exchanges between Japan and India, Prime Minister Modi and his Japanese counterpart declared November 2016 to be the Year of India Japan Friendly Exchanges.
• Japan will commemorate anniversaries alongside the seven nations of South-West Asia in 2022, including India. To strengthen its ties with the nations of Southwest Asia, Japan has declared 2022 the “Japan-Southwest Asia Exchange Year.”

2016 Nuclear Deal

During a three-day visit to Japan in November 2016, Indian Prime Minister Narendra Modi and his Japanese counterpart Shinzo Abe signed a nuclear energy agreement. The negotiations for the agreement were partially slowed down for six years by the Fukushima nuclear accident in 2011. This agreement between Japan and a non-signatory to the Non-Proliferation Treaty was the first of its kind. The agreement grants Japan the right to provide India with nuclear reactors, fuel, and technology. With these six nuclear reactors' aid, India’s nuclear energy capacity is expected to increase tenfold by 2032.

Quad Alliance

• A strategic security dialogue between Australia, India, Japan, and the United States is known as the Quadrilateral Security Dialogue (QSD) or Quad, which is maintained through discussions among its member countries.
• With the support of Australian Prime Minister John Howard, Indian Prime Minister Manmohan Singh, and United States Vice President Dick Cheney, Japanese Prime Minister Shinzo Abe started the dialogue in 2007.
• The agreement on diplomatic and military matters was widely seen as a reaction to growing Chinese economic and military power.
• The Quad members outlined “a shared vision for a Free and Open Indo-Pacific” and a “rules-based maritime order in the East and South China seas” in a joint statement titled “The Spirit of the Quad” in March 2021.
• Tensions between the Quad members and China have sparked fears of “a new Cold War” in the region.
• Representatives from South Korea, New Zealand, and Vietnam attended the first Quad Plus meeting, which was part of the Quad’s commitment to respond to COVID-19 in 2021.

Also, check out the article on India's Look West Policy for UPSC preparation!

Challenges

There are some areas of concern between India and Japan. These are:

• India's trade relations with Japan have yet to reach their potential compared to its relations with China. In 2017, the Sino-Indian bilateral trade was valued at $84.44 billion, while India's bilateral trade with Japan in 2017-18 was only $15.71 billion.
• The two countries have differing interests in economic issues like comprehensive regional economic partnerships and e-commerce rules under the Osaka track.
• India and Japan have disputes with China, influencing their policies primarily on China rather than global expansion.
• Despite great potential for cooperation, India and Japan have yet to be able to collaborate in the defense industry fully. India is a major arms importer, while Japan considers arms exports under Abe's leadership, which remains a contentious topic.
• The government faces the challenge of balancing China's market access while addressing bilateral political, territorial, and water disputes, as Beijing may use its leverage against India.
• India's traditionally non-aligned stance contrasts Japan and Australia's more pro-US positions, leading to conflicting opinions on how to contain China's rise.
• There are doubts about the viability and embedded projects in the Asia-Africa Growth Corridor (AAGC) project.
• India needs help entering the Japanese market due to language barriers and Japan's high standards for quality and service.
• The purchase of US-2 amphibious planes has been the subject of prolonged negotiations between India and Japan.

Also, check out the article on India's Look West Policy for UPSC preparation!

Way Forward

• Japan and India are two strong democratic forces in Asia looking for more ways to cooperate and prosper.
• Both parties must work together to restore peace and order throughout the world, not just in the troubled region of Asia.
• Due to its superior military and economic capabilities, Indo-Japan should be realistic enough to recognize this in any foreseeable regional strategic scenario.
• About Make in India, there is enormous potential. Combining Indian labour and raw materials with Japanese digital technology could result in joint ventures.
• The best way to counter China’s expanding influence in Asia and the Indo-Pacific, both physically and digitally, is through close cooperation.
• In major Indian cities, pollution is a serious problem. India can combat this threat with the aid of green technologies from Japan.
• Both nations are also debating the prospects of India acquiring Japanese technology for the manufacture of submarines as well as joint research in fields like robotics and unmanned ground vehicles.
• Since China will likely play a significant role in any future regional strategic scenario due to its economic and military might, Indo-Japan should be realistic enough to realise this and work to maintain the Indo- Pacific multipolarity.

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