The president of the European Commission, Ursula von der Leyen, said on Friday during a visit to New Delhi that the European Union and India will endeavor to finalize a free trade agreement in 2025. Photo by Harish Tyagi / EPA-EFE
February 28 (UPI) – The president of the European Commission, Ursula von der Leyen, said on Friday that the European Union and India will endeavor to finalize a free trade agreement in 2025.
Speaking in New Delhi, Von Der Leyen said the potential free trade agreement Between the block and India “would be the biggest matter of this kind all over the world”.
“I am well aware that it will not be easy. But I also know that the calendar and determination count, and that this partnership arrives at the right time for the two of us. This is why we agree with Prime Minister Modi to push it to do so during this year,” said Von Der Leyen.
She said the EU is the largest trading partner in India and that European companies create 8 million jobs in India. A free trade agreement, she said, is based on this by improving access to the market and reducing commercial barriers.
Von der Leyen added that in addition to negotiating, the EU explores a possible security and defense partnership with India similar to existing agreements 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,” said Von Der Leyen.
The EU also seeks to deepen connectivity links and a global partnership with India which includes investments.
“It is in our heart of economic and national security. India can play a unique role as a bridge between the world of world and the rest of the world, between Indo-Pacific and Europe,” said Von Der Leyen. “And Europe is ready to invest to help bring this to life. Thanks to Global Gateway, our world infrastructure offer of 300 billion euros, we can invest in projects to transport energy through India and between India and the world.”
She underlined the India-Middle-East-Europe Corridor project launched in New Delhi in 2023 as an example of increased connectivity which, according to her, will benefit the two partners.
This project includes a rail link, an electricity cable and a clean hydrogen pipeline as well as a high -speed data link.
Von der Leyen described the “green and digital bridge through continents and civilizations”.
She said Europe was ready to invest in concrete projects with India.
The efforts of Von Der Leyen to forge a new business, security, connectivity and investment agreements with India and the Indo-Pacific Region arise while the Trump administration disrupts traditional links with Europe with commercial conflicts and disagreement on Ukraine.
About 6,000 EU companies are active in India, as bilateral trade in 2022-2023 reached $ 135 billion.
India signed a free trade contract of $ 100 billion last year with the European Free Trade Association, a block of four non-European European nations.
The EU and India are planning a summit for later this year.
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