Context: India and Japan finalised an ambitious agreement on cyber-security to boost cooperation on 5G technology, critical information infrastructure and Artificial Intelligence. The two countries also pledged to work for a free and open Indo-Pacific with diversified supply chains. This was done during external affairs minister S. Jaishankar’s visit to Tokyo, when he met his Japanese counterpart. The proposed cyber-security agreement will promote cooperation in capacity building, research and development. 
Key Points
Cyber Security MoC

• It will enhance cooperation in areas of mutual interest, which in­clude capacity building in the area of cyberspace, protection of critical infrastructure, sharing information on cybersecurity, developing joint mechanisms for practical cooperation to mitigate cyber threats etc.

Significance: It will attract stakeholders in the Indian 5G sector as it gets ready to open up for international operators.

• This becomes even more important since it is possible that the Chinese companies are not allowed to participate in the 5G arena in India due to recent Indo-China tensions, increasing cybersecurity threat due to Chinese cyber-attacks and hybrid data warfare by China.
• Japan is upgrading its cybersecurity as it has been repeatedly hit by cyberattacks this year.
• Also, Covid-19 pandemic has made countries, companies and institutions dependent on digital technology more than ever before.
• The dialogue emphasized a strong partnership between the two countries in overcoming challenges posed by the Covid-19 pandemic.
• With Covid-19 and trade tensions between China and the United States are threatening supply chains, Japan has mooted the Supply Chain Resilience Initiative (SCRI) as a trilateral approach to trade, with India and Australia as the key-partners.

The importance of the Indo-pacific region was discussed.

• Japan and India both have similarities in their respective Indo-Pacific visions, that are based on rule of law and respect for sovereignty and territorial integrity.
• Both Japan and India need to counter the increasing Chinese aggression in the region.
• India launched the Indo-Pacific Oceans Initiative (IPOI) at the East Asia Summit in November 2019.
• It focuses on seven central pillars conceived around Maritime Security, Maritime Ecology, Maritime Resources, Capacity Building and Resource Sharing, Disaster Risk Reduction and Management, Science, Technology and Academic Cooperation, and Trade Connectivity and Maritime Transport.
• The issue of abduction of Japanese nationals by North Korea was also raised on which India promised to extend support for closure.
• Abductions of Japanese citizens from Japan by agents of the North Korean government took place from 1977 to 1983. Although only 17 Japanese are officially recognized by the Japanese government as having been abducted, there may have been hundreds of victims.

Other Recent Developments Between India and Japan

• Recently, India and Japan signed a logistics agreement that will allow armed forces of both sides to coordinate closely in services and supplies. The agreement is known as the Acquisition and Cross-Servicing Agreement (ACSA).
• In 2019, India and Japan held the first-ever ministerial-level 2+2 dialogue. This dialogue involves the Defence and Foreign Ministers on both sides and is seen as an endorsement of the special strategic partnership between India and Japan.
• Both countries are also part of the Quadrilateral Security Dialogue (QUAD).
• Recently, it has been reported that the second Ministerial meeting of Quad countries will be held in Japan.
• A “India-Japan Digital Partnership” (I-JDP) was launched during the visit of the Prime Minister of India to Japan in October 2018, furthering existing areas of cooperation as well as new initiatives within the scope of cooperation in S&T/ICT, focusing more on “Digital ICT Technologies”.
• In 2014, India and Japan upgraded their relationship to 'Special Strategic and Global Partnership'.
• The India-Japan Comprehensive Economic Partnership Agreement (CEPA) that came into force in August 2011 covers trade in goods, services, movement of natural persons, investments, Intellectual Property Rights, custom procedures and other trade related issues.
• India and Japan defence forces organize a series of bilateral exercises namely, JIMEX, SHINYUU Maitri, and Dharma Guardian. Both countries also participate in Malabar exercise with the USA.

Dependence on China

• India is estimated to import mobile phone components worth Rs 7,000-8,000 crore from China every month. Chinese brands are estimated to have about 60 per cent market share of mobile phones sales in India. 
• This excludes Apple, which is not completely manufactured in China, as well as components that go into other non-Chinese brands. If we add these, the total share of China in mobile phones could be over 75 per cent.

Suggestion

• India needs sophisticated technology from Japan, so more collaboration and cooperation can prove beneficial to both nations.
• There is a huge potential with respect to Make in India. Joint ventures could be created by merging Japanese digital technology with Indian raw materials and labour.
• Closer cooperation is the best measure to combat China’s growing role in Asia and Indo-Pacific, in physical as well as digital space.
• Identify the best global companies in this space and woo them to come and set up R&D in India. Encourage Indian companies who venture into this space with tax breaks and other incentives ( being a nascent sector, this will not make any dent on the national budget).

Road Ahead

• Cyber Security Cooperation assumes significance in present time as far as Japan and India are concerned because both nations are victims of Cyber warfare India is victim on the cyber front, we have a strong defensive mechanism- what we need to address and what we need to work on is an offensive capability that is something which is lacking; there is lot of issue of convergence as far as Quad is concerned like minded countries need to get together to take on those who don't played by the rules. Identify vulnerable areas and sectors also address them on war footing India and Japan have taken their ties to new level and we can only see it being taken upper notch in the time to come.