The European Union is close to finalising a landmark trade agreement with India, a move that could significantly reshape economic ties between the two partners, according to Ursula von der Leyen, President of the European Commission.
Speaking on the progress of negotiations, von der Leyen described the proposed agreement as potentially “historic,” highlighting its importance at a time of shifting global supply chains, geopolitical uncertainty, and a renewed push for strategic partnerships. She noted that both sides have made substantial progress on key issues, bringing the long-running talks closer to conclusion.
Trade negotiations between the European Union and India resumed in 2022 after years of stagnation. Since then, discussions have focused on market access, digital trade, sustainability standards, intellectual property rights, and reducing tariffs across a wide range of sectors. The deal is expected to create new opportunities for businesses, strengthen investment flows, and deepen cooperation in areas such as clean energy, technology, and manufacturing.
Von der Leyen emphasised that India’s rapid economic growth and expanding consumer market make it a vital partner for Europe’s long-term trade strategy. She also pointed to shared interests in promoting resilient supply chains and rules-based global trade, particularly amid growing protectionism in parts of the world.
If concluded, the agreement would be one of the EU’s most significant trade deals, covering nearly a quarter of the world’s population and linking two major economic blocs. Analysts say it could boost exports, generate jobs, and reinforce political ties between Brussels and New Delhi.
While some sensitive issues remain under negotiation, EU officials have expressed optimism that a breakthrough is within reach. Von der Leyen reiterated that both sides are committed to delivering a balanced and ambitious agreement that reflects their strategic partnership and shared economic ambitions.
The potential deal marks a major step forward in EU–India relations and could set the tone for deeper cooperation in the years ahead.