EU Leadership Engages India in Free Trade Talks Amid U.S. Tariff Threats
European Commission President Ursula von der Leyen and 20 EU Commissioners arrived in New Delhi for talks with Indian leadership to advance a free trade agreement amid U.S. tariff threats. The agenda includes enhancing strategic partnerships in technology and defense, as well as discussions surrounding the Russia-Ukraine conflict and further economic cooperation.
On Thursday, European Commission President Ursula von der Leyen arrived in New Delhi with 20 members of the EU College of Commissioners to engage in discussions regarding a free trade agreement with India. These talks are particularly significant in light of U.S. President Donald Trump’s announcement of proposed 25% tariffs on EU goods, reflecting the EU’s need to strengthen alliances in an era of intense global competition.
During their meetings, President von der Leyen and Prime Minister Narendra Modi, alongside key Indian ministers, will discuss enhancing the India-EU strategic partnership. This visit marks the first time the College of Commissioners has formally engaged with Indian leadership, emphasizing the importance of collaboration in diverse sectors including technology, defense, and climate initiatives.
In a statement, von der Leyen emphasized, “In an era of conflicts and intense competition, you need trusted friends. For Europe, India is such a friend and a strategic ally.” She indicated that the forthcoming discussions aim to elevate their diplomatic relationship to new heights amid economic uncertainties created by international trade tensions.
The agenda will also cover the second ministerial meeting of the India-EU Trade and Technology Council, focusing on cooperation in fields such as artificial intelligence and semiconductors. Both sides aim to promote resilient supply chains and advance digital and green technologies, indicating a significant shift towards mutual strategic interests.
Defense cooperation stands out in the proposed discussions, with plans for increased coordination between the Indian Navy and EU member states’ navies. Additionally, an agreement is under consideration to enhance India’s engagement in EU-led defense initiatives, including a liaison officer to be placed at India’s Information Fusion Centre.
Upon her arrival, von der Leyen paid tribute to Mahatma Gandhi, signaling the importance of historical ties. The discussions will likely include topics like the EU’s stance on the Russia-Ukraine conflict, while India maintains its position advocating for diplomatic dialogue as the solution to the crisis.
With the EU being India’s largest trading partner, trade relations have seen substantial growth, with goods trade reaching $135 billion in 2023-24. This visit by EU leadership is expected to further solidify economic ties, with foreign direct investment from the EU accounting for 16.6% of India’s total FDI inflows.
The visit of President von der Leyen and the EU College of Commissioners to India represents a strategic effort to enhance trade and cooperation amidst growing economic challenges. The dialogue focuses on fostering partnerships in technology, defense, and climate action, aiming to establish a robust framework for bilateral relations. With the backdrop of U.S. tariffs, the EU seeks to strengthen its ties with India, emphasizing a collaborative approach to global challenges.
Original Source: www.hindustantimes.com
