Japan is reportedly expected to double its commitment to India, raising its investment target from $34 billion to $68 billion over the next decade with a major share directed towards critical areas such as semiconductor production, artificial intelligence (AI), and mineral supply chains.
The expanded cooperation will include direct engagements with leading Japanese corporations such as Sony, Hitachi, and Tokyo Electron, along with a visit to a significant semiconductor facility. New bilateral frameworks on economic security, semiconductor and AI cooperation, and resilience of critical mineral supply chains are anticipated to be introduced. India also plans to boost its domestic rare earth processing sector and is looking to partner with Japanese firms for the commercial-scale production of rare earth magnets, reducing dependence on China for these vital resources.
Further, India’s strategy aligns with ongoing reforms that open the mining sector to greater private and foreign investment. Policymakers from both nations are presenting these initiatives as mutually beneficial, supporting economic growth, technological advancement, and security across the increasingly competitive Indo-Pacific region.
