EU urges India to reduce tariffs: a historical trade moment!

EU urges India to reduce tariffs: a historical trade moment!

Vienna, AT - On February 27 and 28, 2025, Ursula von der Leyen, the President of the European Commission, visits India to drive negotiations on a free trade pact. This is done against the background of strong geopolitical tensions and the goal of deepening the trade relationships between the EU and the most populous country in the world. According to vienna.at , the agreement between von der Leyen and the Indian Prime Minister Narendra Modi is to achieve a contract this year, of central importance.

The EU calls on India to reduce tariffs to automobiles and wine in order to reduce the trade dependency of China, reports India West . The EU shows flexibility on agricultural issues in order to expand access to its market, which could be crucial for future negotiations. India, which achieved a commercial value of 120 billion euros with the EU last year, is considered the most important trading partner.

In addition, it is a strategic step of the EU to diversify its supply chains and strengthen the security partnership with India. This is particularly important in view of the pressure by the United States, which has announced further tariffs under the government of Donald Trump, which could cost Indian exports worth around $ 7 billion annually. The next round of the trade talks is scheduled for March 10th to 14th.