Modi Hosts German Chancellor Merz in Gujarat for Key Talks

Prime Minister Narendra Modi is set to host German Chancellor Friedrich Merz in his home state of Gujarat on Monday, engaging in vital discussions that signal a new phase in Indo-German relations. The talks, taking place in Gandhinagar, will focus on enhancing bilateral ties in trade, investment, critical technologies, and defense. This meeting marks Merz’s first official visit to Asia as Chancellor, underscoring the importance of the occasion.

Preparations in Ahmedabad reflect the significance of Merz’s visit, as the city rolls out the red carpet for the dignitary. One of the highlights of their day will be the inauguration of the 2026 Ahmedabad International Kite Festival, held at the scenic Sabarmati Riverfront. The festival, which attracts kite fliers from around the globe, serves as a cultural showcase, drawing attention to the vibrant traditions of Gujarat.

Following their discussions, Modi and Merz plan to release a joint statement, addressing the challenges posed by a complex geopolitical landscape. The backdrop includes recent tensions, such as the United States’ military maneuvers aimed at capturing Venezuelan President Nicolás Maduro.

Merz will also visit Hriday Kunj, the home of Mahatma Gandhi, during his stay. This visit not only highlights historical ties between India and Germany but also reflects the shared commitment to values such as peace and cooperation.

The talks are particularly timely as India seeks to strengthen its economic relationship with Europe. With the United States imposing a 50% tariff on Indian goods, New Delhi aims to deepen its engagement with European partners. Germany stands out as one of India’s most significant trade allies, with bilateral trade in goods and services reaching $51.23 billion in the fiscal year 2024-25. Notably, Germany accounts for around one-fourth of India’s trade with the European Union, establishing itself as New Delhi’s leading trading partner in the region.

In terms of investment, Germany ranks as the ninth largest foreign direct investor in India, with cumulative FDI inflows of $15.40 billion from April 2000 to June 2025. Currently, over 2,000 German companies operate in India, further solidifying the economic bond between the two nations.

As preparations continue for the kite festival, roads leading to the venue are adorned to welcome the German Chancellor, who is expected to participate in flying kites. The festival not only serves as a prelude to the Uttarayan festival, celebrated with great enthusiasm in Gujarat, but also symbolizes the growing cultural and economic ties between India and Germany.

As the day unfolds, the outcomes of Modi and Merz’s discussions could pave the way for enhanced collaboration in various sectors, reflecting a shared vision for a prosperous future.