India and Germany reinforced their strategic ties on Monday, signing multiple Memorandums of Understanding in the presence of Prime Minister Narendra Modi and German Chancellor Friedrich Merz.
Bilateral trade has now surpassed $50 billion, marking an all-time high, with more than 2,000 German companies maintaining a longstanding presence in India.
Prime Minister Modi emphasized that the partnership is expanding beyond trade into technology cooperation, particularly in renewable energy and climate action. To institutionalize these efforts, the two countries will establish an India-Germany Centre of Excellence, designed to facilitate knowledge exchange, technology transfer, and joint innovation. The centre will serve as a hub for projects in energy, urban development, urban mobility, and climate solutions.
A significant element of the collaboration is a proposed green hydrogen project involving Indian and German companies. While details are preliminary, officials indicated that the initiative aims to accelerate industrial decarbonization and develop scalable hydrogen infrastructure, aligning with both nations’ climate and energy goals.
Supply chain security also featured prominently in discussions. Modi noted that India and Germany are working to create robust, trusted systems capable of supporting advanced manufacturing, renewable energy deployment, and strategic industrial cooperation.
Beyond energy and industry, the leaders highlighted initiatives to strengthen educational and cultural links. A new higher education roadmap will encourage German universities to establish campuses in India, while expanded sports cooperation aims to foster connections among youth in both countries.
Chancellor Merz underscored the broader economic context, reiterating Germany’s support for a free trade agreement between India and the European Union. Such a deal, he said, would unlock additional potential in bilateral trade, investment, and technology collaboration.
