4 min readNew Delhi, TokyoUpdated: Aug 24, 2026 08:05 PM IST
India is set to review its trade agreement with Japan signed in 2011 with an aim to fix the widening trade gap with the country and streamline committed investment worth 10 trillion yen (over $62 billion) in the next 10 years, a government official said on Monday. This comes as a delegation of over 220 stakeholders from Indian industry, led by the Commerce and Industry Minister Piyush Goyal, is in Japan from 24th to 27th August to deepen collaboration with their Japanese counterparts.
Pitching for investment in India, Goyal at a roundtable here said that India is the fastest-growing large nation in the world and is poised to become a $30 trillion economy by 2047. Bridging this gap is clearly on the agenda, and a roadmap has been laid out, Goyal said, adding that India is working to open the doors to international engagement. “Today we have free trade agreements (FTAs) or preferential market access in markets worth $17 trillion,” he said.
“I have three suggestions or asks, as I invite you to leverage the cost competitiveness of our FTAs and our engineering talent. I urge each one of you present in India and those who will be coming to deepen your localisation. It will help you become even more cost-competitive and actually help you supply your components to the rest of the world. The government is also willing to support you in innovation funding,” the minister said.
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Goyal cited the example of the first large investment by Suzuki Motor Corporation in the 1980s and said that the market cap of Suzuki in India is over 1.6 times that of the parent company Suzuki Motor Corporation. Stating that “some of the largest and most profitable operations are coming out of India,” the minister pointed to the journey of 1,580 Japanese companies in India, adding that “We would like to see 1,580 Suzukis being created out of India and the doubling of the number of the companies operating out of India.”
Piyush Goyal held several meetings during the day, including chairing a roundtable on capital goods, machinery, automotive and advanced manufacturing and engaging in talks with Keidanren (Japan Business Federation), Japan Chamber of Commerce & Industry (JCCI). The Indian business delegation (over 200) met the Fintech Association of Japan and delegates from the Japan Aerospace Exploration Agency (JAXA) in Tokyo.
Safeguard measures, deepening trade ties
Responding to concerns over the use of safeguard measures raised by the Japanese companies during the round table, Goyal suggested the Japanese companies source steel from India rather than importing.
Further, during the fireside chat with Nikkei Asia editor-in-chief Akito Tanaka, he said “We only use safeguards for the low end of the market, which is available in India. In any country, there will be certain areas where there are conflicting demands: local industries… foreign companies coming into the country, protecting certain sectors… sensitivities and because of that it could lead to a situation where in certain areas you may find it difficult to immediately get the attention of the policymakers…
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“But ours is a listening government; we have Invest India, which supports and handholds investors into India. The Commerce and Industry Ministry is working very actively to bring investment into the country and is always in the service of investors and business to help them in their journey in India and wherever possible we sort out the case,” Goyal said.
The Indian delegation’s four-day visit, running from 24 to 27 August, will take the delegation across Tokyo, Nagoya, and Osaka, and is aimed at deepening trade and investment ties under the India-Japan Special Strategic and Global Partnership. The delegation has been constituted jointly by India’s industry associations, in coordination with the Ministry of Commerce and Industry, and includes representatives nominated by the Federation of Indian Chambers of Commerce and Industry (FICCI), the Confederation of Indian Industry (CII), and the Associated Chambers of Commerce and Industry of India (ASSOCHAM).