India Reconsiders Billion-Dollar Turkish Deals: Tunnels, Metros, Kashmir-Delhi

India Re-evaluates Turkish Deals Across Kashmir To Delhi Sectors Post Kashmir Attack

Restructuring a comprehensive reassessment of India’s massive commercial relations with Turkish entities consists of all spheres of activities ranging from infrastructure projects like metro road and tunnel constructions to IT and aviation. With rising geopolitical tensions amidst Ankara, this scrutiny has been promoted by the Modi administration. The trigger for this re-evaluation is making several statements on Kashmir by Turkey on international fora and more so after this country started supporting Pakistan more openly after the recent terror attack in Pahalgam and Operation Sindoor.

Several Turkish companies are involved in huge infrastructure projects across India: for example, a Turkish company was working on electromechanical components for the strategically important Atal Tunnel in Jammu & Kashmir. In 2024, Rail Vikas Nigam Limited (RVNL) had signed a Memorandum of Understanding with a Turkish company for a metro rail project, while these projects, along with others in various sectors in states like Gujarat, Maharashtra, Uttar Pradesh, Jammu & Kashmir, and Delhi, are all under scrutiny by the government at the moment. This review will very probably affect the bilateral trade relations between India and Turkey, which stood at about $10.4 billion in 2023-24. An examination of all existing agreements is underway in this context.

In addition, there are credible reports which indicate that Pakistan employed Turkish-made drones in its attempts to target some Indian military installations in the aftermath of the recent conflict. The military cooperation Turkey and Pakistan jointly undertake has sparked even more concerns in India, and likely played a part in the renewed decision to review economic ties.

The review process requires a careful evaluation of the agreements and financial obligations with Turkish companies. A senior government official said, “As India strengthens its Indigenous capabilities around the world, we may consider partnerships that do not align with India’s strategic interests in the future.”

The rift in relations have also been shown in other forms. Following Turkey’s support for Pakistan after Operation Sindoor, there has been a large push in India to boycott Turkish goods and tourism. Online travel platforms in India are reportedly providing advisories against visiting Turkey, and some even suspended advertising. Indian merchants have now begun to boycott some traditional Turkish products including apples and attractions around marble.

India’s strategic response also involves strengthening ties with some of the countries that surround Turkey, such as Greece, Armenia, and Cyprus, along with strengthening cooperation with Saudi Arabia and the UAE, to counter Turkey’s effort to globalize the issue of Kashmir and contest Turkey’s aspirations as a regional power.

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While we may not fully comprehend the long-term consequences of this reassessment, it marks a significant departure from India’s previous approaches to the economic, and diplomatic relationship with Turkey that prioritizes India national security and strategic alignment with it bilateral partnerships around the world.

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