EU pushes for historic trade and security agreement with India ahead of summit

The European Union is preparing to significantly deepen its strategic partnership with India through a proposed trade agreement and a new security and defence framework, expected to be formalised during the upcoming India–EU Summit in New Delhi.

EU moves to strengthen trade and security ties with India

The European Union (EU) is set to advance a broad-based trade and security partnership with India, with several key agreements likely to be finalised during the visit of senior EU leadership later this month. The initiative reflects growing strategic convergence between New Delhi and Brussels amid global economic uncertainty and evolving geopolitical challenges.

European Commission President Ursula von der Leyen and European Council President Antonio Costa are scheduled to visit India from January 25 to 27, a trip that officials on both sides describe as a critical moment in bilateral relations.

New EU-India Security and Defence Partnership

Focus on maritime security, counterterrorism and cyber defence

Addressing the European Parliament, EU High Representative for Foreign Affairs and Security Policy Kaja Kallas said the bloc has agreed to move ahead with a new EU-India Security and Defence Partnership.

The agreement is expected to be signed during the 16th India–EU Summit, which will be held in New Delhi on January 27.

According to Kallas, the partnership will expand cooperation across several strategic domains, including:

• Maritime security

• Counterterrorism efforts

• Cyber defence and emerging security threats

The initiative marks a significant expansion of security cooperation between the two strategic partners, reflecting shared concerns over regional stability, global trade routes, and digital security.

Comprehensive strategic agenda to be adopted at summit

Broader political, economic and security cooperation

In addition to the defence partnership, the summit is expected to adopt a new EU-India comprehensive strategic agenda. This agenda is aimed at deepening collaboration across political engagement, economic integration, and security coordination.

The move signals an effort to update and modernise the partnership in line with contemporary global challenges, including supply-chain resilience, climate change, and geopolitical instability.

Free Trade Agreement negotiations reach advanced stage

EU calls India FTA potentially transformational

Earlier, European Commission President Ursula von der Leyen indicated that the European Union is close to finalising a long-pending Free Trade Agreement (FTA) with India.

Speaking at the World Economic Forum in Davos, she described the proposed agreement as potentially “the mother of all deals”, highlighting its scale and economic significance.

She noted that the FTA could create a market of nearly two billion people, accounting for almost a quarter of global GDP.

Von der Leyen said:

“There is still work to do. But we are on the cusp of a historic trade agreement,”

Her remarks underlined Europe’s broader strategy to diversify trade partnerships and expand international cooperation, particularly with fast-growing economies such as India.

High-level engagements planned during India visit

Republic Day participation and leadership talks

European Council President Antonio Costa and Commission President Ursula von der Leyen will be on a three-day State Visit to India from January 25 to 27.

During the visit:

• Both leaders will serve as Chief Guests at the 77th Republic Day celebrations

• They will co-chair the India–EU Summit

• They are scheduled to meet President Droupadi Murmu

• They will hold restricted and delegation-level talks with Prime Minister Narendra Modi

These engagements are expected to reinforce political trust and accelerate progress on trade, security, and strategic cooperation.

India–EU Business Forum on sidelines of summit

Industry engagement and investment focus

An India–EU Business Forum is also expected to be held alongside the summit. The forum is likely to bring together business leaders, policymakers, and investors from both sides to explore opportunities in trade, technology, manufacturing, clean energy, and digital innovation.

The business dialogue is expected to complement ongoing FTA negotiations by highlighting private-sector priorities and investment potential.

Strategic partnership gains renewed momentum

India and the European Union have been strategic partners since 2004. The previous India–EU Summit was held virtually in July 2020, amid the COVID-19 pandemic.

Officials from both sides view the upcoming summit and leadership visit as a significant step toward reinvigorating the partnership, particularly as negotiations on the long-pending Free Trade Agreement have reached an advanced stage.

The renewed engagement comes at a time when both India and the EU are seeking reliable partners to strengthen economic resilience, supply-chain security, and geopolitical cooperation.

Conclusion

The upcoming India–EU Summit is poised to mark a pivotal moment in bilateral relations, with progress expected on a historic Free Trade Agreement and a new security and defence partnership. As global uncertainties reshape trade and geopolitics, the EU’s push to deepen ties with India underscores the growing strategic importance of the partnership. If finalised, the agreements could significantly enhance economic integration, security cooperation, and political alignment between the two sides, setting the stage for a stronger and more future-ready India–EU relationship.