India, the EU seeks to seal the trade agreement this year, Trump keeps the markets in shock | India News

This was the context in which Modi and Von der Leyen stressed the importance of the India-UE partnership.

Calling “historical and unrivaled … natural and organic” engagement, Modi said that it was built on shared values ​​aimed at “shaping a better future for our planet”. Von der Leyen pointed out what was at stake. Calling the world “loaded with danger”, to a “inflection point in history”, she declared that the “modern version of the competition of Grand Power is an opportunity for Europe and India to reinvent their partnership … (because both) are particularly placed to meet this challenge together”.

Placing trade in this context, she said: “A free trade agreement between the EU and India would be the greatest agreement of this kind in the world. I am well aware that it will not be easy. But I also know that timing and determination count, and that this partnership arrives at the right time for both of us. This is why we agreed with Prime Minister Modi to push it to do so during this year. And you can count on my full commitment to make sure we can deliver. »»

This was taken up in the declaration of the managers presented as a joint press release calling for a “balanced, ambitious and mutually beneficial ale in order to conclude them during the year”.

Recognizing the importance of the growth of commercial and economic relations of the India-EU, he said: “Managers asked managers to work as a trusted partners to improve market access and abolish trade barriers. They also responsible for advancing negotiations on an agreement on the protection of investments and an agreement on geographic indications. »»

After the bilateral meeting at Hyderabad House, Modi said that the strategic relationship with the EU was crucial, with up to 20 ministerial level meetings in various sectors that take place during the last two days to prepare a plan for collaboration in trade, technology, investment and security.

“We have ordered our teams to conclude a mutually beneficial bilateral free trade agreement by the end of this year,” said Modi.

The negotiations for the ALE began in 2007 and stalled a few years ago and were relaunched in 2021.

This is the first time that there is a deadline to conclude the FTA, similar to a deadline established for the Indo -US trade agreement to be concluded in the fall this year – which was agreed at Modi’s meeting with Trump at the White House at the beginning of the month.

After meeting with Modi, Von der Leyen spoke of the scope of the agreement: “The potential is immense. Europe is already the largest trading partner in India. Last year, we exchanged a value of 120 billion euros in goods. And in the past two decades, our business has tripled. All this is proof that our companies and our people want to work together. One of the best examples of this partnership is the new federation of European companies in India. It brings together 6,000 EU companies, which have created 8 million direct and indirect jobs in this economy. We have in charge of our teams to rely on this momentum and to finalize our free trade agreement before the end of this year. We expect a large part of our commercial negotiators, we told them that they should surprise us. More than ever, the geopolitical context requires decisive action. »»

Ukraine also appeared in the discussions, in the midst of the call of Von der Leyen – while speaking during an event – for renewed cooperation on security and stability during which it announced that Europe “intensifies” its defense expenses, a point that the United States has long stressed.

In her address earlier in the day, she said that even if “we sit far on the map”, India and Europe were affected by conflicts everywhere “because peace, security and prosperity are indivisible in this world”.

In war, it has strongly drawn the European line: “In Europe, the objective of Russia is to tear Ukraine apart … A failed Ukraine would not only weaken Europe. And that is why we have taken historical measures to support Ukraine and its future. But a failed Ukraine would also intensify challenges in other parts of the world. Especially in this region. Other countries around the world look closely, if there is impunity if you invade a neighbor or violate international borders. Or if there are real deterrents. This is why we want peace talks to lead to just and lasting peace. With a free and prosperous Ukraine, which can join the European family. And Europe is ready to assume its responsibility … We will intensify our defense expenses to ensure that the Member States have access to all the capacities that this new reality requires. But we also want to intensify cooperation with crucial partners such as India. »»

His reference to border violation was also considered to be the aggressive behavior of Beijing in the Indo-Pacific region.

“This is why I can announce that we are exploring a future security and defense partnership with India in the partnership mold that we have with Japan and South Korea. This will help us to intensify our work to counter common threats, whether on cross -border terrorism, maritime security threats, cyber attacks or the new phenomenon we see: attacks on our critical infrastructure. »»

After the meeting, Modi reported technological cooperation: “We have also agreed to increase cooperation in semiconductors, AI, high performance IT and 6G. We have also decided to initiate a space dialogue. »»

Modi and Von Der Leyen spoke of connectivity between the two regions with the Prime Minister referring to “concrete measures” which will be taken to advance the economic corridor or the Imeec of India-Middle-Europe. “I firmly believe that IMEEC will serve as an engine that stimulates global trade, sustainable growth and prosperity in the coming days,” he said.

Earlier, Von Der Leyen also supervised this “historic… incredible” project as a project that “can be a modern golden road” directly connecting India, the Persian Gulf and Europe. “With a rail link, this will make trade between India and Europe 40% faster. With an electric cable and a clean hydrogen pipeline. And a high speed data cable to link some of the world’s most innovative digital ecosystems. This corridor is much more than a “just” a railroad or a cable. It is a green and digital bridge through continents and civilizations … It can be a winner for Europe, India and our partners. We are ready to invest in concrete projects that can already start to establish these connections. Europe is open to business and we are ready to invest in our common future with India. »»

Modi met the high -level delegation of the college of European Union commissioners (EU), led by Von der Leyen. Of the 27 EU commissioners, 22 visit India. The ministers of the cabinet, including the Minister of External Affairs, Jaishankar, the Minister of Commerce, Piyush Goyal, the railways and the Minister of Information and the Broadcasting Ashwani Vahnaw attended the meeting.

This is the very first visit to the college of EU commissioners in India and the first visit outside Europe by the new college that took office in December 2024.

On both sides, the task is cut. An EU official, speaking on condition of anonymity, said that a key aspect of the trade agreement could depend on India’s commitment to reduce tasks on cars in the midst of a continuous crisis in the European automotive sector. On Friday, during the meeting of the Commerce and Technology Council (TTC), the manager said that the semiconductors had been highlighted as an area requiring deeper and more targeted discussions.