Germany India Closer Ties Face Hurdles Amid Merz Visit

Monday, January 12, 2026
2 mins read
Germany India Closer Ties Face Hurdles Amid Merz Visit
Photo Credit: DW News

Ahmedabad, Monday, January 12, 2026 — German Chancellor Friedrich Merz arrived in India on Monday for a two-day official visit at the invitation of Prime Minister Narendra Modi. The trip marks Merz’s first state visit to India since assuming office and focuses on deepening Germany India closer ties through discussions on trade, technology, defence, and global issues.

Merz landed at Sardar Vallabhbhai Patel International Airport in Ahmedabad early Monday. He received a warm welcome from Gujarat Governor Acharya Devvrat, Chief Minister Bhupendra Patel, and other officials. The leaders will visit Sabarmati Ashram, participate in the International Kite Festival at Sabarmati Riverfront, and hold bilateral talks at Mahatma Mandir in Gandhinagar.

Friedrich Merz India Visit Signals Strategic Push

The Friedrich Merz India visit coincides with celebrations of 75 years of diplomatic relations and 25 years of the India Germany strategic partnership. Both sides aim to review progress and expand cooperation in trade and investment, technology, education, skilling, mobility, defence and security, science, innovation, research, green development, and people-to-people ties.

Prime Minister Modi and Chancellor Merz will exchange views on regional and global matters. They will engage with business leaders from both countries. Merz will travel to Bengaluru on the second day to visit Bosch’s campus and the Centre for Nano Science and Engineering, underscoring collaboration in manufacturing and innovation.

Official statements from India’s Ministry of External Affairs and Prime Minister’s Office emphasise the visit’s role in building a forward-looking partnership. The leaders last met on the sidelines of international summits, where they agreed to broaden bilateral engagement.

Germany India Relations Challenges Remain Significant

 Despite positive momentum, Germany India relations challenges complicate deeper alignment. Key differences centre on Russia’s war in Ukraine. Germany seeks stronger condemnation from India and alignment with sanctions against Moscow. India maintains strategic autonomy, continues purchasing Russian oil, and has sold refined products to Western markets, circumventing EU restrictions.

Christian Wagner, India specialist at the German Institute for International and Security Affairs (SWP), stated: “India will stick with its course of strategic autonomy and therefore continue to maintain good relations with Russia.” Friedrich Merz, in a prior speech to German ambassadors, highlighted pressures on the liberal world order and the need for diversified partnerships, including with India.

Economic hurdles add complexity. Bilateral goods trade reached €29 billion ($33.7 billion) in 2024, a significant increase but far below Germany’s €246 billion trade with China. India’s projected economic growth outpaces China’s in 2025, positioning it as a services hub compared to China’s manufacturing role.

US tariffs on Indian goods, raised to 50% in 2025 over Russian oil purchases, create additional strain. Germany advocates lowering trade barriers with India, as noted by Foreign Minister Johann Wadephul: “While others, like the US, erected trade barriers, Germany and India should lower them.”

India Germany Strategic Partnership Gains Momentum

The India Germany strategic partnership shows strength in defence and technology. Negotiations advance for Thyssenkrupp to build six submarines for India with technology transfer and indigenous content. Germany relaxed export controls in 2025 for avionics and sensors.

France secured a €6.6-billion deal for 26 Rafale jets in 2025, but Germany eyes opportunities in Airbus A400M aircraft and other systems. India relies on Russia for 60-70% of its military equipment, posing a challenge for Western suppliers offering costlier options with conditions.

In services and education, Indians form the largest group of foreign students in Germany. Migration agreements facilitate skilled worker mobility. Germany commits funds under the Green and Sustainable Development Partnership for clean energy and infrastructure.

Background of Germany India Closer Ties

Diplomatic ties date to 1951, with the strategic partnership formalised in 2000. Recent high-level interactions include Foreign Minister Wadephul’s visit to Delhi and Merz’s emphasis on partnerships beyond the trans-Atlantic region. The visit addresses diversification from China amid security concerns and systemic rivalry.

What’s Next

Talks may yield announcements on semiconductors, green energy, mobility, and defence co-production. Progress depends on navigating geopolitical differences. The upcoming India-EU Summit adds context for trade negotiations.

Germany India closer ties offer potential for mutual benefit in a shifting global landscape, provided both sides address persistent Germany India relations challenges through sustained dialogue and pragmatic cooperation.

Published in SouthAsianDesk, January 12th, 2026

Follow SouthAsianDesk on XInstagram and Facebook for insights on business and current affairs from across South Asia.

Leave a Reply

Your email address will not be published.