NEW DELHI – German Chancellor Olaf Scholz and Indian Prime Minister Narendra Modi have committed to strengthening defense, green energy, and trade ties during a high-profile meeting in New Delhi, signaling a deepening strategic relationship between the two nations. With Germany looking to diversify its defense partnerships and reduce dependence on China, Scholz emphasized the importance of bolstering military cooperation with India. The Chancellor highlighted Germany’s aim to support India’s efforts to move away from a reliance on Russian defense equipment, with German company Thyssenkrupp currently competing for a $5 billion Indian Navy submarine contract.
Beyond defense, the two leaders discussed investment in renewable energy projects, aligning with Germany’s previous pledge of 10 billion euros to support India’s climate initiatives. The focus includes green energy and infrastructure investments, with German lender DEG planning to invest $1 billion in Indian projects.
The discussion also revisited the ongoing negotiations for a free-trade agreement between India and the European Union (EU), which have faced hurdles, especially regarding agricultural standards. Scholz voiced optimism for a swift resolution, while India’s Trade Minister Piyush Goyal emphasized respect for India’s dairy industry sensitivities. This renewed cooperation in defense, energy, and trade marks a significant step in Germany and India’s efforts to build a robust partnership amid shifting global dynamics.