Overview
- EU tariff cuts cover about 99.5% of Indian export value, with major duty eliminations on day one and additional reductions phased over the next several years.
- India opens roughly 97% of its market by trade value to EU goods, using quota-based liberalisation for cars and large reductions on wines while keeping sensitive farm items excluded and delaying EV concessions.
- The agreement pairs goods access with broad services commitments, a mobility framework easing student and skilled‑worker movement, and a new Security and Defence Partnership.
- EU officials reiterated no country‑specific flexibilities under the Carbon Border Adjustment Mechanism, while promising technical and financial cooperation to help Indian exporters meet carbon requirements.
- Implementation now depends on legal scrubbing, translation and domestic ratifications, as officials aim for entry into force within 2026; Prime Minister Narendra Modi urged manufacturers to tap the 27‑nation market and Piyush Goyal highlighted Rs 6.4 lakh crore in state exports poised to benefit.