Germany’s Chancellor Olaf Scholz and India’s PM Narendra Modi Discuss in New Delhi

Germany and India Strengthen Ties with Key Diplomatic Meetings and Economic Initiatives

New Delhi – In a significant step towards strengthening bilateral ties, German Chancellor Olaf Scholz met with Indian Prime Minister Narendra Modi in New Delhi on Friday. The two leaders co-chaired the 7th edition of the Intergovernmental Consultations (IGC) between India and Germany, covering critical areas including economic partnerships, defense cooperation, climate initiatives, and strategic alignment in the Indo-Pacific. Scholz’s visit marks his third trip to India as Chancellor, emphasizing Germany's increasing interest in the region under its new "Focus on India" policy.

Economic and Trade Cooperation Takes Center Stage

At the 18th Asia Pacific Conference of German Business, held in New Delhi, Scholz underscored Germany’s commitment to enhancing economic cooperation with India. Addressing attendees, Scholz stated, “Our overall message is clear: we need more cooperation, not less.” He highlighted Germany’s intent to reduce reliance on other markets by fostering deeper trade relations with India, now regarded as one of the world’s fastest-growing economies. German Vice Chancellor Robert Habeck also attended the conference, reinforcing Germany’s active engagement with the Asia-Pacific region.

The two leaders also pressed for expedited progress on the EU-India Free Trade Agreement, which has been under negotiation since 2007. Scholz expressed optimism for a rapid conclusion to these negotiations, envisioning a timeline of “months rather than years.”

Strengthening Defense and Security Partnerships

Defense cooperation emerged as a key area of focus during Scholz and Modi's talks. In line with Germany’s Indo-Pacific strategy, Chancellor Scholz announced the arrival of the German frigate "Baden-Württemberg" and the combat support ship "Frankfurt am Main" in Goa, part of a broader deployment in the region. This marks Germany's commitment to a secure and free Indo-Pacific, with Scholz emphasizing, “The freedom of maritime trade routes must be respected everywhere.”

The two leaders agreed to bolster military ties, with Germany’s ThyssenKrupp Marine Systems actively competing for a major submarine contract with the Indian Navy. Such partnerships are indicative of Germany's strategic shift, moving beyond economic cooperation to embrace security alliances in Asia.

India's Position on Global Peace and Stability

In his remarks, PM Modi emphasized India's enduring commitment to peaceful resolutions in ongoing global conflicts, particularly the Ukraine crisis. Modi stated, “Problems cannot be solved by war; India stands ready to contribute towards the restoration of peace.” The Indian leader further highlighted the importance of India’s role as a stabilizing force in the region, a position Scholz supported, especially amid growing geopolitical uncertainties.

The leaders jointly voiced concerns over escalating tensions in Ukraine and West Asia, underscoring the shared need for peace and stability. Scholz echoed Modi's sentiments, noting that India’s balanced approach offers a unique model of peace-building in a multipolar world.

Strategic Milestone: Germany's “Focus on India” Policy

Germany's recent adoption of the "Focus on India" policy marks a substantial strategic shift. As Chancellor Scholz reiterated, Germany views India as an essential partner in the Indo-Pacific and aims to develop a more resilient economic and diplomatic framework with New Delhi. The policy aligns Germany's Indo-Pacific objectives with India’s rising global influence, targeting initiatives across technology, climate, and infrastructure development.

Modi welcomed this policy, affirming India’s commitment to this evolving partnership. “This is the 25th year of the India-Germany Strategic Partnership. The coming 25 years will take this collaboration to new heights,” Modi stated, acknowledging the partnership’s role in shaping a balanced global order.

Advancing Technology and Innovation

Both nations recognize the transformative potential of technology in fostering economic growth and sustainability. Germany has shown a particular interest in leveraging India’s skilled workforce, with plans to increase the annual visas for Indian professionals from 20,000 to 90,000, boosting Germany's economic and technological landscape. Modi highlighted this move, stating, “The trust Germany has shown in India's skilled manpower is remarkable.”

Germany and India aim to collaborate on cutting-edge sectors like artificial intelligence, semiconductors, and clean energy. As Modi emphasized, “India is rapidly becoming a hub for global trade and manufacturing. This is the most opportune time to ‘Make in India, Make for the World.’”

Defense and Maritime Cooperation in the Indo-Pacific

Maritime cooperation and the Indo-Pacific’s strategic importance were also focal points of discussion. The port call in Goa by German naval vessels underscores Germany’s commitment to maritime security and its support for international maritime law. Modi and Scholz affirmed their mutual stance on “freedom of navigation” in the region, with both leaders signaling intentions to counter any potential challenges to this freedom.

A Future-Focused Strategic Partnership

Friday’s meetings in New Delhi marked a significant step in the India-Germany relationship, one built on shared values, economic synergy, and mutual security interests. With both leaders expressing a robust commitment to expanding the partnership across diverse sectors, the next 25 years promise deeper cooperation, driven by shared ambitions in trade, technology, and regional stability.

The strengthened alliance not only serves the immediate economic and defense interests of both nations but also reflects a unified approach towards peace, stability, and adherence to the international rule of law. As both Scholz and Modi emphasized, the evolving partnership is designed to tackle the challenges of an increasingly multipolar world.