US EditionIndia-EU Trade Deal to Cut Import Duties on Textiles, Footwear, Cars, Wines and More: Report
The agreement aims to boost trade and economic integration, with India cutting car tariffs to 40%, addressing a trade imbalance where exports fell 0.1% and imports rose 2.2%, officials said.
- Negotiations concluded on Friday, January 23, 2026, with Commerce Secretary Rajesh Agrawal calling it a balanced, forward-looking deal, and leaders of India and the EU set to sign it on Tuesday.
- Agrawal noted the pact was finalised after 18 years of talks launched in 2007 as India's exports to the EU contracted 0.1% while imports grew 2.2%, with the FTA aiming to rebalance trade by securing concessions for Indian goods.
- Gulzar Didwania said India’s bilateral trade with the EU was USD 136.53 billion in 2024-25, with 97% of tariff items covered, benefiting sectors like apparel where duties will be slashed.
- Implementation will take time because the agreement requires EU Parliament approval while India needs only the Union Cabinet nod, and the legal scrubbing process will follow negotiations, Agrawal said.
- Gulzar Didwania projected the deal could add another 50 billion dollars to India exports in five years, help diversify exports from the US to the EU, and boost European exporters of machinery and capital goods.
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The Treaty was signed after 20 years of negotiation. This free trade agreement concerns the European Union and India, the most populous country in the world. Is this good news for our companies? Customs duties on European beauty products will rise from about 20% to 0%. For wines and spirits, they will go from 150% to only 20%. The same hope for growth for the chocolate and pasta sectors, whose tariffs will rise from 50% to 0%. (Economy).
Volkswagen CEO Blume welcomes the EU's approach to a new free trade area with India. This should also open up new opportunities for the Wolfsburg automaker.
India and the European Union (EU) reached a long-delayed trade agreement on Tuesday that will reduce tariffs on the vast majority of products exchanged between the two economies, with the aim of boosting bilateral trade and reducing US dependence in a context of growing global trade tensions, both sides reported.Read more
In Delhi, the EU celebrates the free trade agreement as a historic liberation strike. Expectations are great, the German car industry hopes for impulses too. Whether the gold mining atmosphere continues when the Europeans get to know India's harsh reality?
After Free Trade Deal, 99% Of India Goods To Get Preferential Entry Into EU
With the India-EU trade deal, the country has secured unprecedented market access for more than 99 per cent of Indian exports by trade value to the EU that also bolsters the Make in India' initiative, the Commerce Ministry said on Tuesday.
The automobile, wine and olive oil sectors, all of which have an important weight for Spain, would be among the 'winners' of the Free Trade Agreement (FTA) sealed on Tuesday between the European Union and India. So will the pharmacist, in the light of the data already known from the pact, which represents an oxygen balloon for Europe at a time when the United States sharpens the machinery of protectionism in its agreements and exchanges with oth…
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