Chancellor Merz’s trip to India is the first time he has visited Asia since becoming Chancellor in May 2025. Merz was invited to visit by Prime Minister Modi and will be meeting with him on his one day in India to discuss strengthening their economic and defense relationship, as well as to continue talks regarding a possible EU–India Free Trade Agreement (FTA) that was previously put on hold. Upon arriving in Ahmedabad, Merz landed at the Sardar Vallabhbhai Patel International Airport along with a delegation of approximately 25 top executives from major German companies.
Promoting international relations and understanding
Merz’s first stop after landing in Ahmedabad was the Sabarmati Ashram, where he met with Prime Minister Modi and then participated in the International Kite Festival; this is a significant example of how cultural diplomacy can promote international relations and understanding.
During his visit to Mahatma Mandir in Gandhinagar, Chancellor Merz and Prime Minister Modi held a delegation-level meeting to discuss trade, investment, technology, defense, security, science, innovation, sustainability, education, vocational training, mobility, and other areas of increased people-to-people exchange. This meeting occurred during the celebration of 75 years of diplomatic relations between India and Germany and the 25th anniversary of a formal India–Germany Strategic Partnership.
The bulk of the discussion focused on increasing economic engagement between the two countries
Bilateral trade exceeded $50 billion last year, and the German delegation emphasized the need to complete the stalled EU–India Free Trade Agreement (FTA) as soon as possible. Chancellor Merz stated that Germany is committed to expediting the completion of the agreement, with both parties hopeful of completing it during the next India-EU Summit scheduled to take place on January 27.
Developing further cooperation between Germany’s industrial base and India
Chancellor Merz stated that Germany is committed to expediting the completion of the agreement, with both parties hopeful of completing it during the next India-EU Summit scheduled to take place on January 27. Representatives from such sectors as telecommunications, semiconductors, critical minerals, and renewable energy were also present to demonstrate interest in developing further cooperation between Germany’s industrial base and India’s priorities in transitioning to a green economy. The German CEO’s emphasized India’s role as a vital manufacturing and investment location.
Defense and Defense-Industrial Cooperation
The focus on defense cooperation was very strong. The expansion of military and defense-industrial cooperation was central to the visit and included:
- Development of a defense-industrial cooperation roadmap based on joint development, co-production, and technology transfer.
- Ongoing negotiations for a potential €8 billion submarine purchase by Indian state-run shipyards from Germany’s Thyssenkrupp Marine Systems, which represents a strategic partnership.
Both of these developments are seen as a way to reduce India’s long-standing reliance on Russian defense supplies and increase India’s national resilience through diversification of suppliers.
Chancellor Merz’s visit represents a larger strategic realignment
As tensions between the U.S., China, and Russia rise, Germany is seeking to create new global partnerships within a “China-plus-X” strategy. For India, which is currently evaluating the implications of Sino-U.S. dynamics, Germany presents a valuable strategic anchor in Europe’s largest economy.
The joint statements issued during the visit referred to cooperation on security issues in the Indo-Pacific region, combating terrorism, and supporting multilateral global governance.
Chancellor Merz traveled to Bengaluru to sign several MoUs in various fields, including defense, ecosystem development, semiconductors, critical resources, education, and green energy. These foundational agreements are intended to lay the groundwork for deeper commercial ties and provide a solid basis for Germany’s pivot toward the Asia-Pacific region. With the EU-India summit scheduled to take place shortly, both parties have made concerted efforts to align their respective domestic agendas to enhance strategic objectives, indicating an elevated level of cooperation going beyond a mere transactional framework.
