By DPA|TIN24 Editor Amit Alhat
Berlin/New Delhi, January 11, 2026 – German Chancellor Friedrich Merz is set to embark on a pivotal trip to India accompanied by a high-level economic delegation on Sunday, signaling Berlin’s strategic push for enhanced cooperation with the South Asian powerhouse and a deliberate shift away from over-reliance on China.
With approximately 2,000 German companies already operating branches in India and employing over 500,000 people, the prospects for this three-day visit are exceptionally promising, according to Volker Treier, the foreign trade chief of the German Chamber of Industry and Commerce (DIHK).
“India is an increasingly important trading partner for the German economy,” Treier told dpa. “Given its economic dynamism, young population, and growing industrial base, India is rapidly gaining relevance for our companies – especially for the diversification of supply chains and the expansion of international value creation.”
This initiative builds on efforts by the previous coalition government under Chancellor Olaf Scholz, which prioritized reducing unilateral dependencies on China by broadening economic ties with other nations.
German direct investment in India reached €27 billion ($31.4 billion) in 2023, a significant figure though dwarfed by the €100 billion invested in China, where German firms have established extensive production and manufacturing capacities.
Despite India’s vast market potential, it currently ranks only 23rd among Germany’s trading partners, while Germany stands as India’s top trading partner within the European Union.
Bilateral trade has doubled over the past decade, reaching €31 billion ($36 billion) in 2024, with Germany maintaining a trade surplus through higher exports.
Key German exports to India include machinery, chemical products, aircraft, ships, and trains. In return, Germany imports pharmaceuticals, chemical industry goods, machinery, and clothing from India.
The visit is expected to catalyze further investments and partnerships, fostering mutual growth amid global economic shifts.
Author: The India News 24
TIN24 (The India News 24) The India News 24 (TIN24) is a Mumbai-based news Digital Media focusing on breaking news, local and regional issues in India, with content primarily in Marathi. It was established with an X (Twitter) presence since July 2022. Owner & News Editor: Amit Alhat Education: BA in Mass Communication Journalism (Graduate) Experience: 12 years in journalism Platforms: - Website: https://theindianews24.in - X (Twitter): https://x.com/the_indianews24 - YouTube: https://www.youtube.com/@theindianews247 - Instagram: https://www.instagram.com/theindianews_24
