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Indo-German Economic Relations: Scope for Strengthening

India and Germany stand at a pivotal moment in their economic partnership. As global supply chains fragment, climate commitments tighten, and technology reshapes production systems, both countries face structural pressures that cannot be addressed unilaterally. India requires technology depth, global standards integration, and sustainable industrialization pathways. Germany seeks cost-efficient production, market diversification, talent access, and credible transition strategies.

This policy paper argues that Indo-German economic relations must evolve from a trade- and investment-focused framework into a production-centric, technology-driven, and transition- management alliance. The paper identifies concrete, sector-specific opportunities across automobiles, manufacturing, sustainability, artificial intelligence, pharmaceuticals, electronics, energy transition, infrastructure, logistics, and urban systems. It proposes an institutional architecture to convert strategic intent into measurable economic outcomes.

The central proposition is that Indo-German cooperation can become a global template for advanced–emerging economy partnerships, balancing growth, sustainability, technological leadership, and geopolitical realism.

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