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India-EU FTA Ready? Why Europe Is Betting Big On India In The Trump Era | Finepoint

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India and the European Union are closing in on a major free trade agreement which could be finalised as early as the end of this month. Reports say that January 27th could be the day of signing, while the final deal may exclude agriculture. EU Commission President Ursula von der Leyen, and EU Council President Antonio Costa are visiting India as the chief guests on Republic Day. German Chancellor Friedrick Merz was in India this week to push the trade deal. Being the largest EU member, Germany is at the core of this trade deal, and the Germans say yes to it. But this was not always the case. The EU–India free trade agreement is among the longest-running unfinished projects in global trade diplomacy. Negotiations began in 2007, stalled in 2013, languished for nearly a decade, and were formally revived only in 2022. For almost 18 years, the deal was paralysed by disagreements over tariffs on automobiles and alcohol, intellectual property protections, labour and environmental clauses, and market access for services.

It is striking the speed with which things began to move in 2025. The EU is infamous for being a divided house that drags its feet more often than not. But in 2025, negotiations were accelerated at a pace previously thought impossible. Technical chapters were closed in rapid succession. Political resistance softened. And timelines emerged where none had existed before.

This did not happen because Europe and India resolved old differences overnight. The fast-changing global strategic environment has forced........

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