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India-Japan ties will grow despite bullet train delay

Thursday, July 19, 2018

Subject

India's first bullet train and India-Japan relations.

Significance

India’s first bullet train project, financed with Japanese soft loans and targeted for completion in 2022, is facing protests over land acquisition. Japanese companies in India frequently express concern over India’s complex regulatory and tax environment. Japan is negotiating to sell arms and defence technology to India.

Impacts

  • India-Japan collaboration to develop infrastructure in third countries will expand.
  • Delhi and Tokyo will have minor disagreements over Beijing’s Belt and Road Initiative.
  • Abe should win his Liberal Democratic Party’s leadership elections, due by late September.

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