Japanese Prime Minister Sanae Takaichi and German Chancellor Friedrich Merz met in Tokyo on Wednesday and announced that the two countries would step up cooperation on critical mineral supply chains and launch a high‑level dialogue on artificial intelligence. The agreement comes as both governments look for ways to lessen their dependence on China for materials such as rare earths that are essential for electronics, electric vehicles and defense equipment.
The leaders also said they would work together on defense‑industry collaboration and encourage private‑sector investment in cutting‑edge technologies like nuclear fusion and hydrogen. In a joint statement, Takaichi said,
"We agreed to further strengthen our strategic cooperation across a wide range of fields,"adding that Japan and Germany “share strengths that complement each other and are important like‑minded partners in upholding a free, open and fair international economic order based on the rule of law.”
Takaichi expressed “strong concern” over a proposed European Union scheme that would give preferential treatment to electric vehicles made within the bloc. Earlier this month, Germany and France announced plans to exclude Japanese‑made EVs from that preference, a move that the Japanese government notes has affected trade relations. The two leaders reaffirmed their relationship as “Premium Partners.” Merz is on his first visit to Japan since taking office in May 2025.
A key focus of the talks is to protect against economic coercion. Both governments highlighted worries about arbitrary export restrictions and retaliatory measures on critical minerals without naming any specific country, but observers note China’s dominance in the global supply of rare earths. Japan has tightened Chinese export restrictions in response to remarks on Taiwan, and Germany is wary of Beijing’s expanding economic influence.
Additionally, the statements called for strengthening deterrence in cyberspace after a series of high‑profile data breaches. The leaders plan to pursue joint efforts to secure their cyber infrastructure and defend against new threats.
Future Steps
The next phase involves setting up formal frameworks for joint investment and technology exchange, as well as coordinating with other allied nations on the critical‑mineral issue. The initiative signals a broader trend of nations seeking to diversify supply chains and reinforce shared security interests in a rapidly changing global landscape.
