Japan eyes strategic investments in India’s EV and battery supply chain to counter China’s stranglehold

In a major geopolitical and economic move, Japan is preparing to invest between $100–400 million (₹860–3,500 crore) in India’s electric vehicle (EV), battery manufacturing, and recycling ecosystem, according to multiple sources present at recent high-level trade meetings. This investment is part of Japan’s strategic push to reduce global dependence on China for lithium-ion batteries, critical minerals, and rare earth magnets, all of which are vital components in the global clean-tech and EV revolution. Over the last 48 hours, top officials from the Japanese government, major battery makers, auto manufacturers, and private equity firms have held closed-door meetings with India’s leading conglomerates, EV makers, and battery recyclers. These discussions focused on supply chain financing, joint ventures, technology transfers, and building new mineral processing facilities in India. Key Japanese players involved included members of the Battery Association for Supply Chain (BASC), along with major firms such as Mitsubishi, Sumitomo, Hanwa, and Daikin Chemical Southeast Asia. From India, industry leaders like Maruti Suzuki, Tata Motors, Honda, Attero, Lohum and Vedanta were present, along with government officials and representatives from ARCI (International Advanced Research Center for Powder Metallurgy and New Materials).