Key facts
- Japan pledged $61 billion in investment in India over the next decade.
- Japanese investment in India was $3.2 billion between April and December 2025.
- Japan's Prime Minister Sanae Takaichi warned of self-defence action if China moved on Taiwan.
- China retaliated with export controls on 40 Japanese entities.
Japanese Prime Minister Sanae Takaichi visited India on July 2 for a summit aimed at deepening strategic ties and diversifying supply chains amid increasing trade pressure from China. The visit, described as investment diplomacy, is also seen as a hedging operation by Japan against Beijing's actions, including export controls imposed on 40 Japanese entities following Takaichi's warning that a Chinese move on Taiwan could trigger Japanese self-defence action. Japan has pledged to invest $61 billion in India over the next decade, with $3.2 billion already invested between April and December 2025.