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Steady investments, increased manufacturing, knowledge exchange and more: How economic partnership with Japan benefit Indian industries and people

OpIndia Staff
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Steady investments, increased manufacturing, knowledge exchange and more: How economic partnership with Japan benefit Indian industries and people

Indian Prime Minister Narendra Modi is on a 2-day visit to Japan. He will hold summit talks with Prime Minister Shigeru Ishiba and strengthen civilisational bonds, cultural ties, and economic partnership between the two countries.

While India has surpassed Japan in May 2025 in terms of nominal GDP (Gross Domestic Product) to become the fourth largest economy in the world, it tends to gain immensely from the East Asian nation through manufacturing, technology, investments, and human resource collaboration.

Our partnership with Japan is not just shaping industries but the livelihoods of farmers, students and entrepreneurs.

Japanese investment in India continues to grow

Over the past 2 years, India has witnessed a steady inflow of Japanese investments. This showcases their confidence in our growth trajectory.

According to reports, more than 170 Memorandums of Understanding (MoUs) valued at over $13 billion have been signed across multiple sectors between India and Japan.

For instance, Nippon Steel is expanding its footprint with projects in Gujarat and Andhra Pradesh. It includes a large integrated steel plant worth ₹56 billion, which will strengthen India’s manufacturing capabilities.

JFE Steel has announced ₹445 billion for electrical steel production, which is vital for India’s growing power sector. These projects are not only adding capacity but also creating thousands of new jobs.

Japanese automobile giants are equally committed to India’s growth. Suzuki Motor is setting up a massive new plant in Gujarat worth ₹350 billion and expanding production lines.

Similarly, Toyota Kirloskar is investing in both Karnataka (₹33 billion) and Maharashtra (₹200 billion) to ramp up hybrid and electric vehicle production.

These investments are positioning India as a future hub for clean mobility and catering to both domestic demand and exports.

Beyond manufacturing, Japanese firms are also venturing into real estate, renewables, and aerospace. Sumitomo Realty has pledged $ 4.76 billion in urban development.

Similarly, Osaka Gas is focusing on renewable energy and green hydrogen. Astroscale, on the other hand, will work with ISRO to launch satellites using India’s PSLV.

Indian SMEs entering global value chains due to partnership with Japan

A transformative feature of the India–Japan partnership is its impact on small and medium enterprises (also called SMEs).

For decades, Indian SMEs have faced challenges of restricted market reach and limited access to technology. Due to their partnership with Japanese firms, these enterprises are finally entering international supply chains.

Indian suppliers are being integrated into semiconductor ecosystems through partnerships with Tokyo Electron, Fujifilm, and Tata Electronics.

This not only brings India closer to the global chip industry but also ensures that local firms adopt world-class standards in quality control and production.

The automobile sector is also witnessing rapid SME integration. Both Toyota and Suzuki are extending their supplier networks to Tier-2 and Tier-3 Indian companies.

In the digital space, Fujitsu’s Global Capability Centre is hiring 9000 Indian engineers and creating business for IT-linked SMEs.

Due to this, Indian SMEs are increasingly gaining exposure to advanced practices, cutting-edge technologies and global markets. This is boosting India’s competitiveness on the world stage.

Japan and India cooperate to boost rural economy

India’s economic partnership with Japan is not limited to its urban industries. It is reaching deep into India’s rural economy.

For example, Sojitz Corporation is working with Indian Oil and investing $395 million in 30 plants that will utilise agricultural residues and produce 1.6 million tons of biogas annually.

This allows farmers to earn additional income by supplying crop waste. At the same time, they are contributing to the clean energy transition mission.

Suzuki Motor is collaborating with the National Dairy Development Board to convert cow dung into biogas and fuel CNG vehicles.

Since nearly 1/5th of India’s passenger car market runs on CNG, the project has massive opportunities for both energy independence and rural employment.

Japan-India partnership ensures increased manufacturing and exports

The partnership with Japan is also helping India transition from being a consumption-led economy to an export-driven one. It is reinforcing India’s position in global markets.

The new projects of Nippon Steel will strengthen India’s export capacity in speciality steels for automobiles and energy industries. Fujifilm & Tata are strengthening our position in global chip supply chains.

Toyota and Suzuki are producing hybrid and electric vehicles (EVs) in India. The goal has been to ship these cars to Africa, Southeast Asia and the Middle East. This aligns with India’s vision of ‘Make in India, Make for the World’.

HR and knowledge exchange between India and Japan

The most ambitious dimension of India–Japan cooperation lies in human capital.

The India–Japan Talent Bridge program is supported by Japan’s Ministry of Economy, Trade, and Industry (METI), which has a budget of ¥15 billion for skill and HR cooperation.

It seeks to facilitate talent exchange of 5 lakh students and professionals within 5 years through higher studies, internships and employment.

Major Indian universities such as IIT Kharagpur, IIT Kanpur, IIT Guwahati, IISc Bangalore and Anna University are hosting career fairs and exchange programs with Japanese institutions.

They are opening pathways for Indian students to engage with advanced Japanese research and technology firms. Japanese corporations are also actively recruiting Indian talent.

Nidec is establishing a software development center in Bengaluru. Musashi Seimitsu is developing EV components with Indian graduates. Dai-ichi Life Techno Cross is hiring bilingual engineers.

Fintech companies such as Money Forward are also drawing heavily on India’s IT workforce. Beyond corporate hiring, venture firms are funding Indian startups. This is especially true in deep-tech domains.

They are not just providing capital but also mentorship and research opportunities. It is significantly boosting India’s innovation ecosystem.

Through academic exchanges, corporate partnerships, and startup funding, India and Japan are nurturing a generation of professionals equipped to tackle the challenges of the future.

Collaboration on other fronts

A landmark Memorandum of Understanding (MoU) was signed between the Government of Assam and M/s ASEAN Holdings.

It supports India’s Act East Policy and focuses on industrial infrastructure, logistics and agro-based industries.

For Assam, this partnership implies jobs, development, and greater integration with ASEAN markets. India and Japan are aligning their cooperation with global priorities.

At the Japan–India–Africa Forum and the TICAD Summit, the two nations outlined a shared agenda of mineral security, semiconductor supply chains and clean energy resilience.

This global dimension ensures that India and Japan are shaping regional stability and connectivity. From Gujarat’s steel hubs to Banaskantha’s dairy farms, from Bengaluru’s IT corridors to Assam’s industrial gateways, the impact of Japanese cooperation is evident.

It is not merely a story of investments and trade. It is about reshaping livelihoods and futures.

As Prime Minister Modi and Prime Minister Ishiba meet in Tokyo, the India–Japan economic relationship is emerging as a defining partnership of the 21st century.

India brings scale, manpower and markets while Japan contributes technology, capital and expertise. Together, we are building global upply chains, fostering clean energy, empowering farmers and nurturing young talent.

The vision of ‘Make in India, Make for the World’ is being realised in real time in 2025.

Donald Trump’s CIA plot to create unrest, make Greenland secede from Denmark exposed: Read how US has been involved in regime change operations across the world

Shraddha Pandey
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Donald Trump’s CIA plot to create unrest, make Greenland secede from Denmark exposed: Read how US has been involved in regime change operations across the world

In an alarming turn of events, Denmark has accused three Americans with links to US President Donald Trump and CIA of attempting a regime change operation in Greenland, the semi-autonomous Danish territory.

After Denmark’s public broadcaster, DR, reported that three US citizens were involved in a secret plan to secede Greenland, Denmark’s Foreign Minister Lars Løkke Rasmussen summoned the top U.S. diplomat in Copenhagen. Not to forget, Trump has several times expressed his desire to take over Greenland during his second term.

Minister Rasmussen said that the U.S. chargé d’affaires was summoned to discuss “outside attempts to influence” Greenland’s future.

Citing official sources from Danish and American government, DR reported that the three Americans involved in the alleged regime change operation have links with the Trump administration.  

The idea was to push pro-US sentiments in Greenlanders. Reports say that one of the three Americans involved in the secret plot had prepared a list of “U.S.-friendly Greenlanders” and collected names of vocal Trump critics.

Meanwhile, the other two are accused of attempting to establish a network with Greenland politicians, business leaders, and locals. Although it remains unclear whether the individuals were acting on their own or were ordered by Trump administration to fuel pro-US secessionism in Greenland, a White House official told Daily Beast, “We think the Danes need to calm down.”

Earlier this year, it was reported by Wall Street Journal that top officials working under Tulsi Gabbard, the director of national intelligence, issued the instruction to agency heads in a “collection emphasis message”. In this message, the Central Intelligence Agency (CIA), the Defense Intelligence Agency, and the National Security Agency were all included. This message told chiefs to analyse Greenland’s independence movement and attitudes to American efforts to extract resources on the island.  

Mineral-rich and strategically significant Greenland is Trump’s key to unlock dominance in Arctic Ocean

It must be recalled that in March this year, US Vice President JD Vance announced a visit to Greenland to receive briefing on Arctic security issues and engage with US service members. Despite a backlash from Danish government and Greenlanders, Vance visited the US-operated Pituffik Space Base in the semi-autonomous territory of Denmark.

Even during his first tenure as US President, Trump had shown interest in controlling Greenland, given its strategic and economic potential. In December 2024, Trump expressed his desire to gain control of Greenland. In a post on Truth Social, Trump asserted that it was an “absolute necessity.”

In March 2025, Trump reiterated his desire to control Greenland during his Congressional speech. This week as well, President Trump told the media, “I think Greenland is going to be something that maybe is in our future.”

Notably, Greenland, the world’s third largest island, carries immense economic, strategic as well as geopolitical significance owing to its unique location and resources. Since it is positioned between the Atlantic and Arctic Oceans, Greenland falls along the key maritime and aerial routes. These routes connect North America with Europe. Given its proximity to the Arctic Circle, it is an important player in the rapidly changing Arctic region where melting ice due to climate change has unlocked both challenges and opportunities.

As ice sheets recede, Greenland’s vast deposits of rare earth minerals, gas, oil and other resources are becoming increasingly more accessible, further adding to the island’s importance. In addition to the natural resources, Greenland’s location enhances its military significance, especially for missile defence, space surveillance, as well as monitoring naval activities in the Arctic and the North Atlantic. Greenland also has an important role as a transit route in the Greenland-Iceland-UK gap or simply the GIUK Gap.

Greenland’s Strategic Position in the Arctic (Image source: National Snow and Ice Data Center; National Geospatial-Intelligence Agency)

Trump wants to control Greenland as its unparalleled oversight of the North Atlantic and Arctic could be pivotal for the US to monitor and counter Russian, Chinese and even North Korean activities in the region. Greenland would help US dominate the Arctic shipping routes and also boost the US project power into the High North. Besides, Greenland has an abundance of neodymium, dysprosium, uranium, and other Rare Earth Elements, which are crucial for green technology manufacturing. Securing these diverse resources all in one place would help the US curb its dependence on China, which dominates the global supply of REEs.

Wherever the treasure of natural resources is found, US’s plane of ‘democracy’ piloted by CIA arrives

The US intelligence agency CIA has a history of executing regime change operations across various countries. Its covert actions have been focused on toppling foreign governments and replacing them with favourable, rather, subservient governments to the US. This is done by fueling anti-government sentiments, promoting secessionism, triggering violence, and employing several other tactics. Although this has been an old phenomenon, regime change tactics became entrenched in America’s foreign policy during the Cold War and continues to be an outrageous tactic of supporting coups, funding propaganda, and psychological warfare, election interference and even covert military action.

History is replete with examples of the CIA’s regime change operations. In 1953, under Operation Ajax, the CIA orchestrated the Iranian coup to overthrow Prime Minister Mohammad Mosaddegh. In 1954, under Operation PBSuccess, CIA supported a coup to oust President Jacobo Árbenz of Guatemala and install a military dictatorship, as his land reforms threatened US corporate interests.

In 1957-58, President Dwight Eisenhower authorised the CIA to subvert the Sukarno government in Indonesia. The CIA supported local insurgents to carry out guerrilla attacks and also hired mercenary airline companies for logistics and combat missions. The CIA operation named Operation RIPLEY was exposed after Indonesian forces downed the airplane of Allen Pope, a contractor for Civil Air Transport, the company that had been involved in Guatemala regime change operation. While the US government denied direct involvement, the failed operation embarrassed the CIA and it discontinued the operation.

 In 1961, the CIA backed Bay of Pigs invasion in Cuba by training Cuban exiles to invade and overthrow Fidel Castro’s government. The operation, however, failed and in its unintended consequence, Castro’s regime became even stronger.

 In 1963, the US backed a coup against the government of Ngô Đình Diệm in Vietnam due to his role in the Vietnam War, leading to his assassination.  CIA is also notorious for having carried out regime change operations in Latin America, particularly, Nicaragua, Honduras, and the Dominican Republic. In 1973, CIA covertly backed opposition to Chile President Salvador Allende, which resulted in a military coup led by Augusto Pinochet. Allende’s socialist policies were blamed for the agitation against him. Between 1979 and 1989, CIA funneled billions to Mujahideen terrorists under Operation Cyclone to oppose Soviet-backed government in Afghanistan. While the Soviet withdrawal was achieved, CIA’s actions ended up giving rise to Taliban.

With changing times, the US deep state, particularly, CIA also altered its tactics. Shifting from Cold War-era coups and direct interventions, the CIA pivoted to more subtle ‘soft power’ methods like economic sanctions, cyber operations, backing pliable opposition parties, and information warfare. These tactics not only offered plausible deniability but also served the purpose of destabilising the target governments, in response to geopolitical tensions or resource interests.

This shift was marked during Bill Clinton’s presidency in the US. Clinton enlisted billionaire hedge fund investor George Soros to fund massive networks of non-profit organisations, later media outlets, in countries of strategic significance to the US. Soros’s support to Bill and Hillary Clinton is quite widely known. Through these well-funded NGOs pretended to focus on human rights, poverty alleviation, education, and women and minority rights, the CIA exercised power, waged wars, orchestrated mass protests and even toppled governments in target countries. OpIndia has reported on many occasions how Ford Foundation, Open Society Foundation, USAID, Omidyar Network etc also tried to effect regime change in India in recent years, although their attempts failed to deter the Modi government.

The CIA also used cyberattacks, particularly, the Stuxnet virus in 2010 to target and weaken Iran’s nuclear program without direct military confrontation. In Syria, it is reported that the CIA ran covert operations to fund and train anti-Assad rebels during Syrian Civil War. Even President Trump had in his first term directed CIA to take action to oust Bashar al-Assad. Eventually, Assad regime fell in 2024 and now a pro-US former Islamic terrorist Sharaa heads Syria.

While the US denies, it has been alleged that the CIA orchestrated a plot to assassinate President Nicolas Maduro of Venezuela and destabilize the country. In 2020, the CIA backed a mercenary incursion in Venezuela. Venezuelan government said that American private military group Silvercorp USA and pro-US Venezuelan opposition leaders conspired to invade Venezuela and overthrow Maduro. The Venezuelan military, however, caught the American mercenaries and killed some of them.

The CIA also has a history in Brazil. In 1964, CIA backed a coup that overthrew João Goulart, a left-leaning president, whom the US saw as a communist threat. The US intelligence agency conducted covert operations, including funding anti-Goulart labour movements and carried out psyops to destabilise Goulart’s government. Eventually, the CIA managed to oust democratically elected President João Goulart through a coup executed by US-backed Brazillian military leaders.

Even in recent times, the CIA attempted a ‘Maidan-style’ uprising in Brazil in 2023 to oust President Luiz Inácio “Lula” da Silva. It was reported that the supporters of former President Jair Bolsonaro stormed Brazil’s Congress, Supreme Court and presidential palace, with intention of provoking military coup. This alleged operation against Lula was to check Brazil against its ambition to align firmly with BRICS nations. The CIA has failed to oust Lula, who now is taking the Trump administration head on and has openly declared support for India and other BRICS nations in face of Trump’s tariff war.

The US intelligence agency has also been accused of orchestrating a regime change in Bangladesh in 2024, where student protests against quota laws magnified into anti-Sheikh Hasina protests and demands for her ouster from power. Prime Minister Sheikh Hasina, who was forced to resign from her post and flee to India in August 2024, has historically been opposed to US’s ambition of establishing military base on Bangladeshi soil. Hasina’s refusal to surrender Bangladesh’s sovereignty resulted in her ouster. It must be recalled that months prior to her unceremonious ouster, Hasina  accused the United States of orchestrating her removal from the post of PM because she refused to hand over Saint Martin Island to the US, which would have enabled the western superpower to have “sway over the Bay of Bengal”.

In natural resource-rich Greenland, there is no dominant pro-US sentiment. However, Trump has a growing desire to control Greenland and the Arctic Ocean, where Russia and China are increasing dominance, it is highly likely that Trump administration may have ordered CIA to orchestrate a regime change.

Adani Power receives Letter of Award from Bihar for 25-year-long electricity purchase, to set up 2,400 MW greenfield thermal power plant in Bhagalpur

OpIndia Staff
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Adani Power receives Letter of Award from Bihar for 25-year-long electricity purchase, to set up 2,400 MW greenfield thermal power plant in Bhagalpur

Adani Group Company Adani Power has said that it has received a Letter of Award (LoA) for 25 Years long term procurement of electricity from Bihar State Power Generation Company Ltd (BSPGCL). The India’s largest private sector thermal power generator will supply the power from a 2,400 MW greenfield thermal power plant to be set up at Pirpainti in Bhagalpur district of Bihar.

Adani Power said that it will be an ultra-super critical plant with 3 units of 800 MW each. The company will invest around $3 billion in setting up the plant and the related infrastructure. The company said that the project will generate around 10,000 – 12,000 direct and indirect employment of during the construction phase and around 3,000 once operation starts.

Adani Power had emerged winner in a tightly contested Tariff Based Competitive Bidding process called by BSPGCL, offering the lowest supply price of Rs 6.075 per KWh. BSPGCL awarded the LoA to Adani Power on behalf of North Bihar Power Distribution Company Ltd. (NBPDCL) and South Bihar Power Distribution Company Ltd. (SBPDCL). Separate Power Supply Agreement (PSA) will be signed with the state entities.

A statement by Adani Power said that India’s power demand is expected to grow rapidly in the coming years, with peak demand rising from current around 250 GW to 400 GW by 2031-32, and 700+ GW by 2047, propelled by rapid industrialization, urbanization, and a growing population. The company said that  thermal power will continue to remain the backbone of the country’s energy security, providing critical base-load and grid balancing support, due to its inherent ability to provide large-scale, reliable, and round-the-clock power.

To meet this ever-increasing power demand, government has envisaged an additional around 100 GW of thermal capacity to be added by 2035.

Adani Power CEO S.B. Khyalia said, “Adani Power, as India’s largest private sector thermal power producer, has consistently demonstrated the capability to deliver dependable capacity at scale.” He added, “With our upcoming ultra-supercritical, high-efficiency Pirpainti project in Bihar, we are setting new benchmarks in operational excellence and sustainability. This plant will provide affordable and uninterrupted power to the people of Bihar, catalysing industrialisation, strengthening the state’s economy, and supporting the prosperity of its people. Through projects such as this, Adani Power remains committed to playing a leading role in securing India’s energy future.”

Congress leader Rahul Gandhi peddles new conspiracy theory, claims 947 voters are registered in one house in Bihar, villagers debunk his lies

OpIndia Staff
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Congress leader Rahul Gandhi peddles new conspiracy theory, claims 947 voters are registered in one house in Bihar, villagers debunk his lies

As the assembly elections in Bihar are approaching, Congress leader Rahul Gandhi, who is probably aware that his party would not otherwise be able to attract voters, has intensified his attacks on the Election Commission by peddling lies about the voter list and the election process in an attempt to mislead the electors.

Casting aspersions on the Election Commission and the electoral process is an old trick in the playbook of Gandhi. He keeps conveniently using it as and when his party loses elections. However, this time, perhaps anticipating his party’s defeat in the Bihar Assembly elections, the Congress scion began his attack much earlier.

As the Specific Intensive Revision (SIR) exercise in Bihar has reached its concluding phase, Rahul Gandhi has once again accused the poll body of rigging the voter list. On Thursday (28th August), Gandhi shared a post made from his party’s account on X, alleging that the voter list in the Nidani village in the Gaya district of Bihar, was doctored as around 947 voters, falling under Booth No. 161 of Barachatti Assembly constituency, were found registered at the same house address.

Gandhi alleged that hundreds of electors in the village, which has more than 100 houses, had the same house address as House No. 6.

Rahul Gandhi’s allegations were refuted by the Chief Election Officer (CEO) of Bihar, who pointed out video evidence posted by the District Election Officer-cum-District Magistrate, Gaya, containing the statements of voters of Nidani village.

Debunking Gandhi’s lies, DEO, Gaya, clarified that house numbers are not allotted in many villages and therefore, symbolic or notional house numbers are allotted to voters in the voter roll. He posted the videos of voters of Booth No. 161 in the village who said that their names are present in the voter list and that they have been regularly voting in elections.

The DEO shared video statements of four voters of Nidani village, who corroborated that since many houses in the village do not have house numbers, the voter rolls carry symbolic or notional house numbers to ensure that all eligible voters are included in the list. This does not mean that the voters are fake or the electoral roll is tampered.

The voters expressed satisfaction over the SIR exercise being carried out by the Election Commission in Bihar. They said that many people in the village have been voting included in the voter list since 1987 and that no valid voter has been excluded from the voter list. They dismissed the fake claims of the voter list being rigged in the village.

Rahul Gandhi and his old lies

This is not the first time that Rahul Gandhi’s fake claims have been exposed by the poll body. Earlier this month, Gandhi levelled massive allegations electoral malpractice on the Election Commission and claimed that the election body had been colluding with the BJP to rig elections.

He alleged that ‘vote chori’ of lakhs of votes had take place in Maharashtra and Karnataka, where voter lists were tampered. He pointed out that several voters registered in assembly constitutuencies in these state had ‘house number 0’ or the same house number, which according to him indicated that these voters were fake.

He had to face embarrassment after allegations were debunked by a fact-check by the Election Commission. The polly body explained that people who do not have specific house number, which is common in rural areas, and those who are homeless are assigned ‘house number 0’ by the ECI to ensure they are not excluded from the voter list.

Similarly, several voters are found registered at the same address in case of rented-accomodation or joint families living in a shared household.

Pakistani social media handles peddle doctored video showing Indian Chief of Naval Staff blaming Modi govt for ‘failure’ during Operation Sindoor, PIB debunks lies

OpIndia Staff
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Pakistani social media handles peddle doctored video showing Indian Chief of Naval Staff blaming Modi govt for ‘failure’ during Operation Sindoor, PIB debunks lies

A video has been doing the rounds on social media, showing India’s Chief of Naval Staff, Admiral Dinesh Kumar Tripathi, speaking during an event. In the viral video, Admiral Tripathi can be heard talking about India’s Operation Sindoor. He is heard saying that the Modi government stopped Operation Sindoor due to which some purported losses were suffered by the Indian Air Force during the operation.

“Sir, a few days ago, while addressing the Indian Navy on the deck of Vikrant (INS Vikrant), you had said that the Operation Sindoor is not over yet. And if needed, the Indian Navy might get the opportunity to open the attack next time. We were expecting that the government would allow us to take part in the fight (Operation Sindoor), but the government did not give us the command to join the fight. And this is the reason that the Indian Air Force had to incur losses,” Admiral Dinesh Kumar Tripathi could be heard saying in the video. The video was widely shared by Pakistani propaganda handles on social media to mislead people and push an anti-India narrative.

A fact-check of the video by the Press Information Bureau (PIB) revealed that the video was doctored and that Admiral Dinesh Kumar Tripathi made no such statement during his speech at the event.

PIB posted the original video containing the actual words of Admiral Dinesh Kumar Tripathi in which he can be heard praising the Modi government and hailing the Indian Navy’s defence capabilities.

“Sir, a few days ago, while addressing the Indian Navy on the deck of Vikrant (INS Vikrant), you had said that the Operation Sindoor is not over yet. And if needed, the Indian Navy might get the opportunity to open the attack next time. I want to say that with modern and state-of-the-art platforms like Udaygiri (INS Udaygiri) and Himgiri (INS Himgiri) make us capable of inflicting an opening knock-out punch on the enemy,” said Admiral Tripathi.

Operation Sindoor was launched by the Indian Armed Forces as a direct response to the deadly Pahalgam terrorist attack that claimed the lives of 26 innocent Hindus.

The Resistance Front (TRF), an offshoot of the Pakistan-based terrorist organisation Lashkar-e-Taiba, claimed responsibility for the attack.

In the following days, as India prepared for a war-like situation, the Indian Armed Forces planned a military strike on terrorist camps in Pakistan and Pakistan-occupied Jammu and Kashmir.

OpIndia Exclusive: Did Trump’s tariffs cause a terrible downturn in Surat’s diamond industry? Experts dismiss the claims made in media

ભાર્ગવ રાજ્યગુરુ
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OpIndia Exclusive: Did Trump’s tariffs cause a terrible downturn in Surat’s diamond industry? Experts dismiss the claims made in media

US President Donald Trump imposed additional 25% tariffs on India, which came into effect on August 27, taking the total to 50% tariffs. The impact of these tariffs has been discussed in media for months. The additional tariffs were levied on India citing purchase of oil from Russia. There is a section in India that is constantly working hard to bolster the narrative of Trump and America in an attempt to pressurise Indian government even though it is hurting Indian interests.

As part of the same campaign, it is now being claimed that this tariff decision by Trump has had the biggest impact on India’s diamond industry and there is a possibility of a terrible recession, due to which thousands of jobs will also be at risk.

Surat is the center of India’s diamond industry. Diamonds are exported from here to the world including America and a business worth thousands of crores is done every year. It is not new knowledge that there is a huge recession in this industry in Surat.

Leading the charge of crediting Trump tariffs for this slowdown are media outlets like Reuters and BBC. Notably, their reporting is always suspect, especially on geopolitical issues affecting India. Later, Gujarati-Hindi media also picked up the issue and said Trump’s tariffs are creating this slowdown.

The BBC has published a report on the local industry in Surat. It shows the condition of diamond factories and says that many places used to employ a large number of people, but now the number has been reduced and employees have been laid off. The reason is that orders are not being received and due to this, the employees are not being paid. In addition, many jewelers are complaining that their salaries have been reduced, or they are being removed from work, the report adds.

The BBC report further states, “The direct impact of the tariff-induced recession has already started to hit workers.” Quoting some individuals, it said that the jobs of more than one lakh jewelers are at risk and their future is bleak.

Reuters, in its report, has focused on the diamond bourse in Surat, which is always a target of the media. Even though Prime Minister Modi inaugurated it some time ago, it has not yet fully started. Reuters has linked this to the tariffs and claimed that most of the offices are empty. The report claimed that orders have now decreased due to the increase in tariffs. In addition, it has also been said, quoting some individuals, that many industrialists are no longer willing to move their business to the diamond bourse.

Apart from that, the report has talked about the recession by quoting many small diamond businessmen. Apart from that, several other unnamed individuals have repeated the claims in the report.

After foreign media, articles have also been published in Gujarati media on this issue. Gujarat Samachar published an article on August 28 and claimed that Trump’s 50% tariff will put more than 50 thousand jobs in Surat’s diamond-textile industry at risk. The report claims that 30% of Surat’s diamond industry trade is with America, so Trump’s tariff could hit this industry hard,

What is the truth?

From a larger perspective, this narrative is going to help America. Surat is the economic capital of Gujarat and Gujarat is the home state of Prime Minister Modi. The diamond industry has flourished in Surat over the years. If negative rumours are spread that Surat’s largest industry has been badly affected due to tariffs and changing global equations, then it works in Trump’s favour that he is really hurting PM Modi and his home state. However, we have to see that many of these things are not being reported in systematic context or using complete facts, and are directly or indirectly helping to set a wrong narrative.

It is a fact that there is a slowdown in the diamond industry of Surat, but this situation is not new. This is the situation for almost the last one year. Detailed reporting about this slowdown in the diamond industry can be seen in many reports during the last eight-ten months. At that time, Joe Biden was the President of USA, and there was no discussion about tariffs in global politics.

So, if the BBC had gone to the diamond factories of Surat before Trump came, it would have seen the same situation. Because as mentioned earlier, the diamond industry has been in recession for a long time.

Secondly, it is not that the diamond industry will be affected insignificantly due to the tariffs of America, but it is also a fact that Indian diamond businessmen have the upper hand in this. Moreover, India has the option of other markets, America does not have other suppliers who can export diamonds at that scale. There is high demand for diamonds in America, which only the Indian diamond industry can meet.

As far as the Diamond Bourse is concerned, it has been questioned ever since its inauguration, because many offices have not been opened there yet. Whatever the reasons, it is a separate discussion, but the tariff and the fact that the offices in the bourse are not functioning have nothing to do with it. Even when the tariff issue was not there, Diamond Bourse’s situation was the same as it is now. The reality is that the government is making continuous efforts to keep this bourse running.

What do the experts say?

When OpIndia contacted experts associated with the diamond industry of Surat on this matter, they also said the same thing. Jagdish Khunt, president of the Surat Diamond Association, completely dismissed the reports of a terrible recession in the diamond industry due to the US tariffs and said that the media has fabricated most of these things.

Talking about the recession, Khunt said that Surat has been witnessing a recession for the last two years and it has increased during the past year. This has been the situation since before there was any tariff dispute. Talking about the impact of the tariffs, he said that the impact of the US tariffs on the diamond industry will be there in the short term, but in the long term, it will be manageable.

‘America is dependent on India, even if there is a loss, it will be short-term’

Talking about the reasons, he said that currently Surat is supplying diamonds to all the countries of the world. About 90% of the production of diamonds is being done only from India and America also knows that very well. Therefore, no country in the world is able to export that quantity of diamonds to America or fulfill its demand. Today, America is completely dependent on India for diamonds, no country can take India’s place. Therefore, if the tariff is increased, the loss will be to the common Americans and ultimately the demand for diamonds will increase and internal dissatisfaction will also arise.

He said that even if America remains firm on the tariffs, India will not suffer. Explaining the reason, he said that the loss will be compensated by sending the same diamonds that were being sent to America to other countries of the world. Talking about the importance of diamonds in America, he said, “Today, in India, gold is very important for weddings. Similarly, diamonds are important in America. If the locals there do not get diamonds, there is a possibility of protests or they will buy diamonds even at expensive prices. Because diamonds are a part of their social life.”

Explaining all these reasons, he said that the diamond industry is not likely to face any problem due to tariffs because the demand for diamonds is highest in America and only India can fulfill that demand. Therefore, America is completely dependent on India. But, it is not like that in India’s case. India is not dependent only on America. India sends diamonds to almost all the countries of the world. Even if it stops exporting to America, it can compensate by exporting more diamonds to other countries.

Reports that the recession was caused by tariffs are false

Bhavnagar Diamond Association President Ghanshyam Gorasia also shared the same thing in a discussion with OpIndia. He said that the effects of tariffs will definitely be there, but it has not caused and cannot cause a recession. He also gave the same argument that diamonds are very important in America, just like gold is in our country. Therefore, even if diamonds become expensive, they are important for the Americans and they will buy them, but if they don’t, India will be able to sell them to other countries. But here too, the loss is to America, because it will not be able to get diamonds from any other country except India.

Thakarshibhai Patel, who manages about 10-12 factories in the diamond industry in Surat, has also supported the statement of the presidents of both the associations. He said in a conversation with OpIndia that no one can deny that there is a recession, but that recession is not due to the American tariffs. He also said that the US tariff may have some effects, but that too only for a short period. Another factory owner, Laxmanbhai, has also said the same. Apart from that, some jewelers have also repeated this.

However, news about the recession was also published in Gujarati media reports in 2024. At that time, there was no tariff dispute. Therefore, it is proven that there is a recession in the diamond industry of Surat, but it is also proven that the recession has not come because of the US tariff. Rather, the diamond industries have even formulated a plan to sell to other countries as an alternative to the US tariff. However, many steps have been taken by the government in this regard. According to Jagdishbhai Khunt, both the state government and the central government are currently with the diamond industry and when needed, they always adopt a positive attitude for the industry.

PM Modi to meet Russian President Vladimir Putin, Chinese President President Xi Jinping and Japanese PM Shigeru Ishiba during his upcoming Japan and China visits

OpIndia Staff
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PM Modi to meet Russian President Vladimir Putin, Chinese President President Xi Jinping and Japanese PM Shigeru Ishiba during his upcoming Japan and China visits

Prime Minister Narendra Modi will have meetings with Russian President Vladimir Putin, Chinese President Xi Jinping and Japanese Prime Minister Shigeru Ishiba over the next few days during his upcoming visits to Japan and China.

He is visiting Japan on the invitation of Prime Minister Shigeru Ishiba for the 15th Annual India-Japan summit. During his two day visit, the two nations will focus on shaping the next phase in our Special Strategic and Global Partnership, which has made steady and significant progress over the past eleven years, and statement issued by the Prime Minister’s office said.

The PMO added, “We would endeavor to give new wings to our collaboration, expand scope and ambition of our economic and investment ties, and advance cooperation in new and emerging technologies, including AI and Semiconductors. The visit will also be an opportunity to strengthen our civilizational bonds and cultural ties that connect our peoples.”  

PM Modi said in a post on X that focus would be on deepening the Special Strategic and Global Partnership and boosting economic and cultural linkages between the two countries. He will also be travelling to Sendai to visit a semiconductor factory. He said that this visit will highlight “the futuristic dimension of our cooperation in areas like emerging technologies, AI and semiconductors.”

From Japan, PM Modi will travel to China to attend the Shanghai Cooperation Organisation Summit in Tianjin, at the invitation of President Xi Jinping. India is an active and constructive member of SCO. The PMO said in the statement, “During our Presidency, we have introduced new ideas and initiated collaboration in the fields of innovation, health and cultural exchanges. India remains committed to working with the SCO members to address shared challenges and deepen regional cooperation.”

PM Modi further said, “I also look forward to meeting President Xi Jinping, President Putin and other leaders on the sidelines of the Summit.” He further added, “I am confident that my visits to Japan and China would further our national interests and priorities, and contribute to building fruitful cooperation in advancing regional and global peace, security, and sustainable development.”

India and Canada announce appointments of new High Commissioners to each other, marking improvement of ties after Modi-Carney meeting during G-7 summit

OpIndia Staff
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India and Canada announce appointments of new High Commissioners to each other, marking improvement of ties after Modi-Carney meeting during G-7 summit

India and Canada have announced the appointment of new high commissioners to each other’s capitals, a move that signals a significant improvement in relations after strained ties and vacant diplomatic posts caused by former Canadian Prime Minister Justin Trudeau.

India has named Dinesh K. Patnaik, a 1990-batch Indian Foreign Service officer and currently Ambassador to Spain, as its new High Commissioner to Canada. A press release by the Ministry of External Affairs said, “Shri Dinesh K. Patnaik (IFS:1990), presently Ambassador to the Kingdom of Spain, has been appointed as the next High Commissioner of India to Canada.” The MEA added that he is expected to take up the assignment shortly.

The position had been lying vacant since October 2024, when India’s previous envoy Sanjay Kumar Verma and several other diplomats were withdrawn from Ottawa amid worsening tensions.

On the Canadian side, veteran diplomat Christopher Cooter has been appointed as High Commissioner to India, filling a post that had been unoccupied since March 2022, when former high commissioner Cameron MacKay’s tenure ended.  Anita Anand, Canadian Minister of Foreign Affairs, announced today that Christopher Cooterwillbecome High Commissioner for Canada in the Republic of India.

The vacancies reflected the deep chill in bilateral ties that began in September 2023, when Canadian Prime Minister Justin Trudeau accused Indian agents of involvement in the killing of Khalistani separatist leader Hardeep Singh Nijjar. India strongly rejected the allegations, but the fallout led to tit-for-tat expulsions of diplomats, a suspension of trade talks, and eventually the withdrawal of high commissioners.

While Ottawa refrained from naming a replacement for more than two years, New Delhi pulled back its envoy and senior officials last year citing both security concerns and reciprocal measures.

A shift began to take shape earlier this summer at the G7 Summit in Canada, where Prime Minister Narendra Modi and Canadian Prime Minister Mark Carney agreed that both countries would reappoint high commissioners as a first step toward normalising relations. The appointments announced today are the outcome of that understanding and are being seen as a strong gesture of intent to rebuild diplomatic engagement.

Dinesh K. Patnaik brings with him more than three decades of diplomatic experience. Apart from serving as ambassador to Spain, Morocco, and Cambodia, he has also held senior positions in the Ministry of External Affairs, including as Additional Secretary in charge of international organisations and global issues. Known for his expertise in multilateral negotiations and cultural diplomacy, Patnaik has often been regarded as one of India’s more versatile envoys.

Christopher Cooter is a seasoned Canadian diplomat with a career including postings in Europe, Africa, and multilateral institutions. He has previously served as Canada’s Ambassador to South Africa, High Commissioner to Nigeria, and Deputy Permanent Representative to NATO. Cooter is known in Ottawa’s diplomatic circles as a skilled negotiator and a steady hand in sensitive assignments, qualities expected to be crucial in managing relations with India.

The long delays – nearly ten months on the Indian side and more than two years on the Canadian side – underscored just how deep the diplomatic tension had been. But with the return of full-fledged envoys, both sides are now expected to gradually resume regular consular services, business facilitation, and political dialogue. The move could also pave the way for renewed discussions on trade, education, and security cooperation that have largely stalled in recent years.

Trump’s tariff assault also may have played a role, as countries affected by the tariff are boosting relations among themselves to contain the damages of tariff.

Hindu residents declined to 15%, Muslim population rose to 85% since Independence: Panel on 2024 Sambhal violence reveals drastic demographic change

OpIndia Staff
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Hindu residents declined to 15%, Muslim population rose to 85% since Independence: Panel on 2024 Sambhal violence reveals drastic demographic change

The Hindu Population in Uttar Pradesh’s communally-sensitive Sambhal district has declined to 15% while Muslim population surged to 85% since 1947.

This alarming revelation has been made in the report submitted by the panel appointed to probe Sambhal violence case. The report was submitted to Chief Minister Yogi Adityanath.

The 450-page report consists of details about the November 2024 Sambhal violence and also touches on the previous riots which took place in the city.

The report also mentions key details about the demographic changes in Sambhal, where, at one point, the Hindu community members comprised 45%, but their number has since decreased to 20%.

From 55% to 15%, Hindu population declined in Sambhal

According to the report, during independence, 55% of the population was Muslim and 45% Hindu in the Sambhal Nagar Palika area.

However, at the present time, the Hindu population has decreased to 15%, whereas the Muslim community has increased to 85%.

15 communal riots since 1947 and Hindu were always the victims

The report stated that a total of 15 riots took place in Sambhal since independence.

These riots occurred in 1947, 1948, 1953, 1958, 1962, 1976, 1978, 1980, 1990, 1992, 1995, 2001, and 2019.

The report also revealed that the Muslim-dominated Sambhal district has become a base for several terrorist outfits.

Hindus were primary target of 2024 Sambhal violence, police presence thwarted conspiracy

Moreover, the judicial commission found that historically, Turks and Pathans had violent clashes in this region.

After 1947, the local Hindus have been the “primary victims” of all the listed communal riots started by Muslims.

Even the Muslim mob violence in November 2024 was planned to attack local Hindus. However, the heavy police presence in Hindu-majority areas prevented large scale Hindu casualties.  

Sambhal violence and police action

On 24th November 2024, violence erupted during a court-ordered Archaeological Survey of India survey of the Shahi Jama Masjid in Sambhal.

The violence had resulted in the deaths of four individuals and injuries to several others, including officials and locals. As local Muslims gathered outside the mosque and tensions escalated, police resorted to force and opened fire on the protesters, killing at least four men and several injured, including officials and locals.

The violence unleashed by Muslim mobs resulted in 12 FIRs and 80 arrests for pelting stones at police officers from rooftops. According to the charge sheet, there were 159 total accused in the case. It also mentioned that the weapons recovered from the site of violence and other places were manufactured in the United Kingdom, USA, and Germany.

The Uttar Pradesh Police’s Special Investigation Team (SIT) had filed a chargesheet of over 4,000 pages in six of the 12 cases. Following the violence, the UP government constituted a three-tier judicial inquiry commission to investigate Sambhal violence. The commission is chaired by retired judge Devendra Arora, former DGP AK Jain and former IAS Amit Mohan Prasad.

OpIndia reported earlier how Samajwadi Party, notorious for its Muslim appeasement politics came out in support of Muslim rioters. In fact, SP MP Zia-ur-Rehman Barq and SP MLA Iqbal Mehmood’s son Suhail Iqbal have also been named in the chargesheet.

Russian oil supply to Europe resumes after Trump was angry at Ukraine for bombing Druzhba pipeline, European Commission says it is important asset and should not be attacked

OpIndia Staff
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Russian oil supply to Europe resumes after Trump was angry at Ukraine for bombing Druzhba pipeline, European Commission says it is important asset and should not be attacked

Russian oil is once again flowing into Central Europe after a sudden disruption to the Soviet-era Druzhba pipeline after it was bombed multiple times in Russia by Ukraine. Russian oil supply to Hungary and Slovakia have restarted after both countries urged EU to prevent Ukraine from targeting it.

The Druzhba pipeline, its name meaning “friendship,” is one of the last living symbols of Europe’s Cold War dependence on Moscow. Stretching thousands of kilometres, it supplies crude to landlocked European countries such as Hungary, Slovakia, and the Czech Republic, which still lack easy alternatives despite years of EU efforts to diversify away from Russian oil. For them, the pipeline is a fragile necessity, politically uncomfortable, yet practically indispensable.

That contradiction became glaringly visible after Trump’s remarks over the attack on the pipeline. The U.S. president was furious that Kyiv would risk Europe’s fragile energy security by targeting Druzhba.

Druzhba pipeline was hit in Russia by Ukraine thrice in a week earlier this month. This had stopped supply of Russian oil to Hungary and Slovakia, which are still importing large amounts of Russian oil.

Notably, while U.S. President Donald Trump has imposed an additional 25% tariff on India for importing Russian oil, he insists that these European countries keep receiving Russian oil. He had openly rebuked Ukraine for striking the pipeline, calling the attack reckless and destabilizing. He said that he was “very angry” over Ukraine for bombing the pipeline. Trump’s comments came in response to a note by Viktor Orbán, the Prime Minister of Hungary, calling the move unfriendly. 

Trump wrote a handwritten note below Viktor’s comments, saying, “Viktor – I do not like hearing this. I am very angry about it. Tell Slovakia. You are my great friend.” His intervention underscored an awkward truth, while he sanctions India for buying Russian oil, he acknowledges that Russian oil is indispensable for Europe’s energy security.

The European Commission has also issued a statement, describing the Druzhba pipeline as an “important asset” that “should not be attacked.” While they didn’t mention recent attacks on it by Ukraine, Commission spokesperson Eva Hrcinova said the EU remains in contact with the Ukrainian side and “calls on all parties to the conflict to ensure the safety of critical infrastructure.”

She said that the Druzhba pipeline plays a key role in the EU’s energy security. However, she added that previous strikes on the pipeline have not had a significant impact on the region’s overall energy security.

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