PM Modi In Japan: India-Tokyo Pact Deepens As Trump’s Tariffs Redraw Global Trade Map | DNA Explains | India News

New Delhi: As global trade tensions concentrated under US protectionist policies, Prime Minister Narendra Modi’s last visit to Japan gained significant diplomatic and economic importance. When both India and Japan face high tariffs implemented by the Trump administration, the visit is seen as a right step to a deeper regional alliance.

During his visit, Prime Minister Modi prayed at his historical Daruma-Ji temple in Tokyo where he gave him a symbolic Daruma baby. In today’s DNA section, director Zee News, Rahul Sinha analyzed the agreements, the baby’s talented symbolism and diplomacy between India and Japan.

Watch DNA section here:

#Dnawithrahulsinha | जाप की ‘डॉल’ ने..ट्रंप की टेंशन बढ़ बढ़ दी दी! डील …

ट्रंप के अंदर … क्यों है ‘डॉलर वाला डर’?#DNA #Donaldtrump #Unitedstates #Brics @Rahulsinhatv pic.twitter.com/eixlde6lqn
– Zee News (@zeenews) 29 August 2025

Traditionally associated with perseverance and wishes in Japanese culture, the baby is based on the teachings of Bodhidharma, an Indian monk from Kanchipuram, introducing Zen Buddhism to East Asia. Interestingly, in the Japanese tradition, the empty eyes of Daruma baby are slowly filled, when one request is made, the other is a gesture that reflects a stable commitment to targets after being fulfilled.

India and Japan, both key players in the Indo-Pacific region, are currently struggling with the aggressive tariff regimes implemented by the USA. While India is hit with 50% high tariffs, Japan encounters 25% in cars and up to 50% in steel and aluminum exports.

Both countries refused to succumb to Washington’s demands. While India continued to buy oil from Russia by challenging American pressure, Japan has recently canceled an economic committee to the United States and showed resistance to processing diplomacy.

In addition to tensions, Japanese companies were called by President Trump to invest $ 550 billion in American semiconductor and electronic production. However, Japan has now put this initiative on the shelf, and instead, in India, a signal that changes strategic priorities in Asia, has promised a significant investment in 10 trillion (approximately 60,000 RS).

Strengthening the Indo-Japanese partnership can potentially serve as a balance for economic pressure for the US. Both nations are investigating alternatives to US -based trade, including deeper participation through platforms such as BRICS aiming to increase trade trade and reduce dependence on US dollars. Among the recent discussions of the group, there was a movement that could significantly weaken the global domination of the dollar to establish a joint financial institution and trade in local currencies.

Currently, 80-90% of international transactions are carried out as US dollar, but the increasing tendency towards dollarization, especially in energy and commodity markets, is a challenge to Washington’s money leverage. Analysts estimate that if the BRICS countries intensify local foreign exchange trade, the influence of the dollar on global trade may fall to 50% in the next decade.

The economic coercion of tariffs is already felt in the USA. A leading thinking tank reported an increase of 2.3% to 2.7% in retail prices due to import taxes, and average American households have a cost of over $ 1,500 annually. For imports -related industries, this inflation pressure may force wage cuts ranging from 5 to 7%.

As the United States continue to rely on tariffs as an economic leverage tool, it points to a mature partnership based not only in trade, but also on unilateral resistance to the common solutions of India and Japan. Symbolizing flexibility and renewed focus, the Daruma baby can represent the spirit of this developing alliance well.