India, Sweden elevate ties as PM Modi pushes trade, tech cooperation

Prime Minister Narendra Modi on Sunday invited Swedish companies to expand investments in India, saying the country’s “reform express” is moving at full speed and offering opportunities across manufacturing, green energy, telecom, artificial intelligence and digital infrastructure.

Addressing industry leaders during a roundtable hosted by the Volvo Group, Modi highlighted India’s potential in sectors including electronics, deep-tech manufacturing, infrastructure, mobility, healthcare, life sciences and urban transformation.

The meeting was attended by Swedish Prime Minister Ulf Kristersson, European Commission President Ursula von der Leyen, industry leaders and representatives from Indian and European companies.

Modi urged Swedish firms to increase investments under initiatives such as Make in India, the National Green Hydrogen Mission and the National Critical Mineral Mission.

Wooing European companies, the prime minister said India and Sweden should combine Sweden’s innovation strengths with India’s scale, talent and growth momentum to co-create future technologies.

He said the next phase of technology innovation should be co-created in India and pointed to opportunities in AI, infrastructure, mobility, healthcare, life sciences and urban transformation.

India and Sweden also agreed to elevate their relationship to a Strategic Partnership following delegation-level talks between Modi and Kristersson.

The two countries set a target to double bilateral trade and investment within five years. Annual trade between India and Sweden currently stands at $7.75 billion.

“We have a joint ambition to double our bilateral trade and investments within five years with current speed,” Kristersson said, adding that the target could be achieved sooner.

Modi said the Strategic Partnership would focus on “green transition, defence, emerging technologies, and people-to-people ties”.

Discussions between the two sides covered resilient supply chains, sustainable mobility, digital technologies, semiconductors, clean energy and defence manufacturing.

India and Sweden also expanded cooperation in security, space and advanced technologies.

Kristersson said the two countries’ space agencies signed a memorandum of understanding to jointly work on an instrument for the Venus Orbiter mission.

During meetings with Swedish CEOs and Victoria, Crown Princess of Sweden, Modi said the India-Sweden relationship had moved beyond a buyer-seller framework and was now focused on technology, innovation and co-creation.

The prime minister also highlighted growing India-European Union economic ties and welcomed the conclusion of negotiations for the India-EU Free Trade Agreement earlier this year.

He described the agreement as a partnership that would create opportunities in trade, technology, manufacturing, services and resilient supply chains.

“We have set an ambitious and strategic agenda at the level of governments… As Ursula von der Leyen had said, this is the mother of all deals. We are trying to implement this as soon as possible,” Modi said.

Von der Leyen said the next step in India-EU economic cooperation would be an investment agreement aimed at strengthening supply chains and economic security.

Modi also proposed holding the India-Europe CEOs Round-table annually and suggested creating an India Desk at ERT to deepen industrial cooperation between India and Europe.

The prime minister’s European tour will continue with visits to Norway and Italy, where he is scheduled to meet Prime Minister Giorgia Meloni.

Earlier in the day, Modi and Kristersson held delegation-level talks during which the two sides reviewed the full spectrum of bilateral ties and agreed to elevate relations to a Strategic Partnership.

Modi, who arrived in Sweden for a two-day visit, was also awarded Sweden’s highest honour, the ‘Royal Order of the Polar Star, Degree Commander Grand Cross’, in recognition of his contribution to India-Sweden relations and his leadership.

The award is the highest distinction that can be given to a Head of Government and marks Modi’s 31st international honour.

Later, Modi received a cultural welcome from members of the Indian diaspora in Gothenburg, where traditional Bengali performances and dances were organised outside his hotel. Women dressed in traditional attire performed cultural rituals as members of the diaspora waved Indian flags and greeted the prime minister.