Overview
- Negotiators are working through remaining technical and market‑access issues after talks were relaunched in 2022 alongside investment protection and geographical indications agreements.
- If concluded, the pact would be India’s 19th trade deal and would lower or remove tariffs to expand access for goods and services through regulatory alignment.
- Sectors projected to gain for India include technology, pharmaceuticals, automobiles, textiles and other labour‑intensive exports, while the EU could boost sales of aircraft parts, electrical machinery, diamonds and chemicals, according to GTRI.
- Commerce Minister Piyush Goyal has engaged EU Commissioner Maros Sefcovic as both sides seek to close the negotiation, and German Chancellor Friedrich Merz has called for a swift conclusion this month.
- The EU is India’s largest goods trading partner, with 2024–25 trade totaling USD 136.53 billion, a backdrop to efforts to diversify away from China and to offset high U.S. tariffs reported at up to 50 percent.