India, Germany to simplify defence trade

India and Germany will enhance defence trade with an eye on ‘co-production and co-development,’ said Prime Minister Narendra Modi on Monday, as the two sides signed an agreement to strengthen bilateral defence industrial cooperation.

Welcoming German Chancellor Friedrich Merz to India, Mr. Modi said India would launch a ‘consultation mechanism’ to deepen collaboration with Germany in the Indo-Pacific.

In his remarks, Chancellor Merz, on his first visit to Asia since assuming office in May 2025, said “rough winds” are blowing in world politics and that India and Germany should deepen their partnership to counter global trends of instability.

“The growing cooperation in defence and security is a symbol of our mutual trust and shared vision. I express my heartfelt gratitude to Chancellor Merz for simplifying the defence trade processes. We will also work on a roadmap to enhance cooperation between our defence industries, which will open up new opportunities for co-development and co-production,” said Prime Minister Modi in his remarks following talks with Chancellor Merz, when several agreements, including one on ‘Strengthening the Bilateral Defence Industrial Cooperation’, were signed.

Apart from defence, the list of ‘outcomes’ included several other MoUs and Joint Declarations of Intent covering areas such as Germany’s recruitment of skilled professionals, sports, and higher education.