US EditionEurope's 'India Bet' Is Finally Real, and It Is Bigger than Trade
The deal covers nearly all bilateral goods trade, supports MSMEs, and aims to build a strategic partnership across trade, technology, and clean energy, boosting exports and cooperation.
- On January 28, 2026, the European Union and India finalised a free trade agreement cutting tariffs on 97% of EU exports and granting preferential access for 99% of Indian exports by value.
- Faced with rising coercion risks, the European Union sought to diversify ties and lock interdependence, while India aimed to deepen market access and signal manufacturing ambitions.
- Red lines were crossed and concessions accepted, including a 40% tariff on European cars and India's phased elimination of tariffs on key industrial goods covering roughly 15% of global goods trade.
- With bilateral trade exceeding $136.5 billion in 2024‑25, the Federation of Indian Export Organisations, Southern Region, said South India exporters and MSMEs will benefit from the EU's 17% share of India's total exports.
- It is thus of highest importance that the ratification process now runs smoothly, including the European Parliament, EU member states and India's domestic sign-off, as the EU‑India Trade and Technology Council could operationalise cooperation on semiconductors, AI, and clean energy.
14 Articles
14 Articles
India-EU FTA FAQs: From overall benefits for New Delhi, Brussels to key mobility related gains, here's all
India and the European Union have finalized a free trade agreement after nearly two decades of negotiations, creating a vast market and eliminating EU tariffs on 90% of Indian goods. This landmark deal, relaunched in 2022, aims to boost bilateral trade and cooperation across various sectors, including services and agriculture, while safeguarding sensitive domestic industries.
Europe's 'India bet' is finally real, and it is bigger than trade
After years of faltering talks, the EU and India have struck a landmark free trade deal that goes far beyond tariffs. In an era of weaponised interdependence, it signals a new geoeconomic logic: openness on negotiated, strategic terms, writes Daniela Schwarzer in an opinion article for Euroviews.
Jaya Pathmapani – The new free trade agreement between India and the European Union, announced on Tuesday after two decades of negotiations, was called the “mother of all deals” by European Commission President Ursula von der Leyen. Europe and India have a combined population of two billion. Together, these economies represent a quarter of global gross domestic product (GDP). Ursula called the agreement a “tale of two giants” who chose a partner…
UN chief sees ‘a lot of positive expectations’ from India-EU trade agreement
United Nations, Jan 30 (IANS) UN Secretary-General Antonio Guterres said on Thursday that he sees “a lot of positive expectations” from the recent free trade agreement between India and the… Continue reading UN chief sees ‘a lot of positive expectations’ from India-EU trade agreement The post UN chief sees ‘a lot of positive expectations’ from India-EU trade agreement first appeared on Australia India News.
The trade negotiations between the European Union and India open an extremely valuable economic perspective for European exporters.The professor of the Christian Nasula economy explains in an analysis for "True" which are the strategic advantages of this partnership.
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