India–South Korea relations enter ‘futuristic partnership’, trade target set at $50 billion by 2030

Prime Minister Narendra Modi and South Korean President Lee Jae-myung on Monday unveiled an ambitious roadmap to elevate bilateral ties into a “futuristic partnership”, setting a target to nearly double trade to $50 billion by 2030 while expanding cooperation across critical and emerging sectors.

Welcoming President Lee on his first visit to India, Modi described the trip -- the first at the presidential level in eight years -- as a “defining moment” in the relationship, anchored in shared democratic values, market economy principles and a common Indo-Pacific vision.

“From chips to ships, from talent to technology, and from environment to energy, we will realise new opportunities for cooperation across all sectors,” Modi said during the joint press conference.

Bilateral trade, currently at $27 billion, is set for a significant push, with both sides announcing a series of institutional mechanisms to drive economic engagement. These include the launch of an India-Korea Financial Forum, an Industrial Cooperation Committee, and a new Economic Security Dialogue aimed at strengthening collaboration in critical technologies and resilient supply chains.

In a bid to boost Korean investments, India will establish a dedicated Korean Industrial Township, particularly targeting small and medium enterprises, while both countries agreed to upgrade the existing trade agreement within a year.

The leaders also unveiled the “India-Korea Digital Bridge” to deepen cooperation in artificial intelligence, semiconductors and information technology, alongside agreements in shipbuilding, sustainability, steel and port development.

Beyond economics, the partnership is set to expand into cultural and people-to-people domains. Modi highlighted the deep civilisational linkages between the two nations, recalling the two-millennia-old legend of Princess Suriratna of Ayodhya and King Kim Suro, while noting the growing popularity of Korean cultural exports in India.

To further cement cultural ties, the two sides announced plans to host an India-Korea Friendship Festival in 2028 and enhance cooperation in education, research and tourism.

Against the backdrop of global instability, both leaders struck a conciliatory tone, emphasising peace and stability. Modi noted that India and South Korea share a commitment to a “peaceful, progressive and inclusive Indo-Pacific”, welcoming Seoul’s decision to join the International Solar Alliance and the Indo-Pacific Oceans Initiative.

The two sides also called for reforms of global institutions to better address contemporary challenges, underlining their intent to play a more proactive role in shaping global governance.

Invoking Rabindranath Tagore’s description of Korea as the “Lamp of the East”, Modi said Seoul would be a key partner in India’s journey towards becoming a developed nation by 2047, signalling a long-term strategic convergence between the two Asian powers.