India and Germany Lay Groundwork for a Long-Horizon Partnership and Multipolar Future During Modi-Merz Summit in Ahmedabad
India and Germany significantly upgraded their strategic partnership this week with a wide-ranging bilateral engagement between Prime Minister Narendra Modi and German Chancellor Friedrich Merz, resulting in 27 outcomes across defence, energy, technology, education and migration.
This marked Merz’s first official visit to India and Asia since taking office, and came as both nations confront an unstable global order that has prompted a recalibration of partnerships rooted in democratic resilience and technological sovereignty.
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| Sabarmati Ashram stands as a powerful reminder of Mahatma Gandhi’s ideals. Via: PM NaMo |
The two leaders met in Ahmedabad on January 12, where they jointly participated in symbolic events such as a visit to Sabarmati Ashram and the International Kite Festival, followed by delegation-level talks and a business roundtable with top CEOs.
The Foreign Secretary noted that the visit took place during the silver jubilee of the India–Germany Strategic Partnership and the 75th anniversary of diplomatic ties — moments seen not merely as ceremonial, but as platforms for advancing a durable, future-facing alliance.
At the core of the discussions was the emphasis on building secure and resilient supply chains in critical sectors, including semiconductors, green hydrogen, and defence manufacturing.
Germany reiterated its support for early conclusion of the India–EU Free Trade Agreement, with Chancellor Merz calling India a “strategic anchor” in Asia and an “essential economic and technological partner” amid global turbulence.
Prime Minister Modi welcomed Germany’s sustained economic interest, noting that bilateral trade had surpassed $50 billion in 2024 — a quarter of India’s total trade with the EU — and encouraged further expansion in areas such as AI, industrial innovation, and pharmaceuticals.
On defence, both sides signed a Joint Declaration of Intent to establish a Defence Industrial Cooperation Roadmap aimed at co-development and co-production. Germany expressed its readiness to participate in major Indian-led military exercises in 2026, and to deploy liaison officers for Indo-Pacific coordination.
Both leaders also referenced progress on sensitive platforms, including submarines and drones, and acknowledged Germany’s expedited defence export clearances — a significant shift in Berlin’s approach. India maintained that its sourcing decisions would remain guided by national interest and were not linked to reducing dependence on any one partner.
The meetings were underscored by a quiet but deliberate civilisational framing. Modi welcomed Merz on Swami Vivekananda Jayanti, noting the philosopher’s historical role in building intellectual bridges with Germany. Both leaders referenced shared values — democracy, pluralism, and respect for international law — as the foundation for future cooperation.
This ideological synergy was given institutional heft through new announcements including the creation of an Indo-Pacific consultation mechanism, a foreign policy and security dialogue, and a bilateral digital governance roadmap for 2026–27.
The green transition emerged as another pillar. Germany reaffirmed its €10 billion concessional funding commitment under the Green and Sustainable Development Partnership (GSDP), with €5 billion already deployed since 2022 for metro rail, battery storage, and urban climate resilience projects.
A major highlight was a long-term green ammonia offtake agreement signed between India’s AM Green and Germany’s Uniper — one of the largest such deals globally — expected to scale to 500 kilotonnes per annum. New MoUs on hydrogen regulations, battery storage, and renewable energy platforms were also announced, with the German government actively supporting India's National Green Hydrogen Mission.
People-to-people ties were addressed with equal vigour. Chancellor Merz announced a visa-free transit facility for Indian passport holders through Germany — a move Modi hailed as symbolic of mutual trust.
Ongoing issues around Indian students in Germany, skilled migration, and academic partnerships were discussed in depth, with new initiatives including a Global Skills Partnership to facilitate healthcare migration, an Indo-German Higher Education Roadmap, and calls for leading German universities to open campuses in India.
India also raised sensitive matters such as the ongoing custody case of baby Ariha Shah, with officials confirming that Modi had personally brought it up during talks.
Foreign Secretary Vikram Misri reiterated that the government continues to advocate for a resolution that ensures the child is raised in an Indian cultural environment, reflecting the humanitarian and emotional stakes involved.
On multilateralism, both sides reaffirmed their commitment to reforming global institutions, including the UN Security Council through the G4 framework.
On Ukraine, Gaza, and Iran, the two leaders expressed concern over escalating conflicts and emphasized peaceful resolution through dialogue, reaffirming adherence to the UN Charter.
India’s quiet but firm posture on strategic autonomy was evident, with Foreign Secretary Misri making clear that India’s defence or energy policies are guided solely by sovereign interest, and are “not ideological”.