German Chancellor's India Visit: Merz and Modi Discuss Trade and Defence Cooperation on Official Trip

German Chancellor Friedrich Merz has arrived in India for a two-day official visit, marking his first trip to the country since assuming office. He was received at Sardar Vallabhbhai Patel International Airport in Ahmedabad on Monday, January 12, 2026. The visit, which is at the invitation of Prime Minister Narendra Modi, aims to strengthen the strategic, economic, and security ties between India and Germany.

Prime Minister Modi is hosting Chancellor Merz in Ahmedabad, where they are scheduled to visit the Sabarmati Ashram and participate in the International Kite Festival at the Sabarmati Riverfront. Formal bilateral discussions will commence at Mahatma Mandir in Gandhinagar.

The discussions between the two leaders will encompass a broad range of topics, including a review of the India-Germany Strategic Partnership, which recently completed 25 years. Key areas of focus will be intensifying cooperation in trade and investment, technology, education, skilling, and mobility. Collaboration in defence and security, science, innovation and research, and green and sustainable development will also be prioritized. Both leaders will also engage with business and industry leaders to exchange views on regional and global issues.

Germany sees India, with its 1.4 billion people, as a significant market with substantial opportunities for German exporters. The visit occurs amidst a backdrop of a turbulent global order and economic and geopolitical challenges from the United States and China, faced by both Berlin and New Delhi. Merz's visit, his first to an Asian country since taking office last May, precedes a planned EU-India summit. Both India and the EU are currently working towards a free trade agreement.

A German government official stated that a primary objective of the visit is to deepen economic relations with India, with bilateral trade between the two countries worth almost €50 billion. German companies are looking at India as an alternative, given slumping sales and rising competition from Chinese firms in many sectors.

Furthermore, discussions will address collaborations in defence, with India seeking cutting-edge technologies in submarines, engines, sensors, avionics, and radars. Germany's Foreign Ministry has expressed a desire for India to rely more on German arms companies, signaling a shift towards deeper defence and security cooperation. A potential deal involving Thyssenkrupp Marine Systems building submarines for the Indian Navy is under discussion, potentially including technology transfer to strengthen India's domestic defence industry.

The visit is expected to build upon the momentum generated by regular high-level interactions between the two countries. Modi and Merz last met on the sidelines of the G7 Summit, where they agreed to broaden the bilateral strategic partnership. This visit also precedes the India-EU Summit scheduled for January 27.


Written By
Kabir Sharma is a sharp and analytical journalist covering the intersection of business, policy, and governance. Known for his clear, fact-based reporting, he decodes complex economic issues for everyday readers. Kabir’s work focuses on accountability, transparency, and informed perspectives. He believes good journalism simplifies complexity without losing substance.
Advertisement

Latest Post


Advertisement
Advertisement
Advertisement
About   •   Terms   •   Privacy
© 2026 DailyDigest360