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India-EU FTA strong message that cooperation is answer to global...: Ursula

India-EU trade deal strong message that cooperation is best answer to global challenges: Ursula
India-EU trade deal: The free trade agreement between India and the EU, first initiated in 2007, is expected to anchor a broader economic and strategic partnership as global trade dynamics shift. President of the European Commission Ursula von der Leyen, during a briefing on Tuesday, said that the India-EU trade deal is a "strong message" that cooperation is the key solution to global challenges.
India-EU trade deal: India and the European Union (EU) successfully concluded negotiations of the landmark India-EU Free Trade Agreement (FTA) on Tuesday. This announcement marks a historic milestone in India and EU economic relations and trade engagement with key global partners.
The documents on the agreement conclusion were exchanged between EU Trade Commissioner Maros Sefcovic and Union Commerce Minister Piyush Goyal. The free trade agreement between India and the EU, first initiated in 2007, is expected to anchor a broader economic and strategic partnership as global trade dynamics shift.
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The European Union is one of India's largest trading partners, with bilateral trade in goods and services growing steadily over the years.
In 2024-25, India's bilateral trade in goods with the EU stood at Rs 11.5 Lakh Crore (USD 136.54 billion) with exports worth Rs 6.4 Lakh Crore (USD 75.85 billion) and imports amounting to Rs 5.1 Lakh Crore (USD 60.68 billion). India-EU trade in services reached Rs 7.2 Lakh Crore (USD 83.10 billion) in 2024.
President of the European Commission Ursula von der Leyen, during a briefing on Tuesday, said that the India-EU trade deal is a "strong message" that cooperation is the key solution to global challenges.
"...This is the tale of two giants. The world's second and fourth largest economies, two giants who choose partnership in a true win-win fashion. A strong message that cooperation is the best answer to global challenges," she said.
The #IndiaEUTradeDeal is a strong message that cooperation is the best answer to global challenges: EU President @vonderleyen pic.twitter.com/FRrS4u5O0G — Piyush Goyal (@PiyushGoyal) January 27, 2026
US President Donald Trump's tariffs have raised global uncertainty in trade and diplomacy and thus this India-EU FTA is more significant to both India and the EU.
According to a report by The Guardian, dated September 10, 2025, Trump had asked the EU to impose up to 100 per cent tariffs on India and China. This was reportedly a part of the push to end Russia-Ukraine conflict.
Trump had made these demands during a meeting between the EU and the US officials.
Also Read- India-EU evolving ties: Why New Delhi could be the ‘perfect' partner for Europe | EXPLAINED
US Treasury Secretary Scott Bessent has accused European nations of indirectly financing the Russia-Ukraine war by purchasing oil products refined in India using Russian crude, even as Washington has imposed tariffs on New Delhi over its energy ties with Moscow.
According to ANI, speaking to ABC News on Sunday, Bessent defended the Trump administration's decision to levy steep duties on Indian imports, arguing that Europe's continued energy-linked trade contradicts its stated security position.
"We have put 25 per cent tariffs on India for buying Russian oil. Guess what happened last week? The Europeans signed a trade deal with India," Bessent said.
"And just to be clear again, the Russian oil goes into India, the refined products come out, and the Europeans buy the refined products. They are financing the war against themselves," he added.
Bessent said the US has imposed punitive tariffs and pushed for decoupling from Russian energy, while European governments continue to benefit from what he described as gaps in the global oil supply chain.
Earlier, the Trump administration had imposed tariffs of up to 50 per cent on Indian goods, including a 25 per cent levy directly linked to India's imports of Russian oil.
These measures were doubled in August, further escalating trade tensions between Washington and New Delhi.
However, Bessent had reportedly indicated that tariff relief could be considered.
(with ANI inputs)
Source: ZeeNews
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