Modi’s Startup Diplomacy: Strengthening India-Japan & China Ties

Prime Minister Narendra Modi's visits to Japan and China highlight India's strategic focus on strengthening its startup ecosystem amidst global trade tensions, especially after the US imposed a 50% tariff on Indian exports

In Japan, Modi toured Tokyo Electron Limited's factory, a key player in semiconductor manufacturing, signaling India's interest in collaborating for chip design and cleanroom manufacturing to enhance its technological capabilities

In China, Modi attended the Shanghai Cooperation Organisation (SCO) Summit, engaging with regional powers on trade, innovation, and strategic alignment, emphasizing India's position as a rising global startup hub

China's startup ecosystem, characterized by state-driven innovation and massive scale, serves as a model for India, which aims to adapt aspects like regional innovation clusters and government-backed financial infrastructure while maintaining a democratic and inclusive approach

India's startup landscape is decentralized and diverse, with over 100 unicorns and significant contributions from Tier-2 and Tier-3 cities, supported by initiatives like DPIIT Startup India and Make in India

Japan's expertise in semiconductors is crucial for India's ambitions to build chip fabrication capacity, offering lessons in precision manufacturing and resilient supply chains

India's long-term strategy involves creating a robust, inclusive, and resilient innovation ecosystem, blending policy, finance, and global collaboration to drive the next wave of entrepreneurship

Modi's diplomatic efforts underscore India's intent to lead in global innovation, focusing on technology, regional collaboration, and innovation-led growth, as it navigates shifting trade alliances and economic challenges