On 27-28 February 2025, European Commission President Ursula von der Leyen and 22 of the 27 European Union (EU) College of Commissioners embarked on a landmark visit to India. This unprecedented delegation aimed to deepen and diversify the strategic partnership between the EU and India, focusing on trade, technology, defence, clean energy, and digital innovation. This is the first visit of the College of Commissioners outside Europe since the start of their new term in December 2024 and the first such visit in the history of India-EU bilateral relations.
Indian Prime Minister Narendra Modi and Van der Lyn reiterated ‘that the EU-India Strategic Partnership has delivered strong benefits for their peoples and for the larger global good.’ They committed to raise this partnership to a higher-level, ‘building upon 20 years of India-EU Strategic Partnership and over 30 years of India-EC Cooperation Agreement.’[1]
It certainly was a significant step forward. It will try to shape the new EU-India Strategic Agenda that von der Leyen announced in her Political Guidelines[2] in July 2024 which was presented to the European Parliament on the day of her election.
India has risen in the ranks of the EU’s attention list. Balancing China, deepening engagement with Europe, and providing stability amid shifting global dynamics have become shared priorities for India and the EU. India’s rapid progress in digital infrastructure, its new manufacturing support policies, and its successful hosting of the G20 in 2023 have strengthened its global standing, adding weight to its engagement with the EU.
On its part, under Prime Minister Modi, India has significantly expanded its outreach to Europe. Over the past year, Modi has visited Ukraine, Poland, Austria, France, Italy, and Greece, engaging with European leaders on multiple occasions.
At this moment, the uncertainty of U.S. policy has become a unifying concern for both sides. Naturally then, trade and investment took centre stage during the visit, with the EU reaffirming its status as India’s largest trading partner. In 2023-24, bilateral trade in goods surged to $135 billion, while trade in services hit a record $53 billion.
Both sides reiterated their commitment to finalizing the long-awaited free trade agreement (FTA) by year-end, aiming to deepen economic ties. However, negotiations remain complex, with key sticking points including tariffs, market access, and regulatory standards. The EU is pushing for lower tariffs on automobiles and alcoholic beverages, whereas India is keen on securing better entry for its textiles, pharmaceuticals, and chemical exports into the European market. It may be prudent for both to take a strategic call to break and alleviate this logjam. The EU introducing a carbon tax (CBAM) is an added problem in this conundrum.[3] It was not clear where the European confidence to resolve this issue was emanating from.[4]
The India-Middle East-Europe Economic Corridor (IMEC) is a major priority for both sides despite turmoil in West Asia and uncertainties pertaining to Israel and the USA. “This can be a modern golden road – directly connecting India, the Arabian Gulf and Europe. With a rail link, that will make trade between India and Europe 40% faster. With an electricity cable and a clean hydrogen pipeline. And a high-speed data cable to link some of the most innovative digital ecosystems in the world.”[5] said van der Lyn during her visit
Discussions at the second Ministerial meeting of the Trade and Technology Council (TTC), centred on digital technologies, AI, high-performance computing, and quantum advancements. Both sides signed key agreements on semiconductor research and high-performance computing to tackle global tech challenges.
Talks also covered India’s Digital Public Infrastructure, data governance, and cybersecurity, emphasizing a shared commitment to innovation. The MOU on semiconductors, boosting supply chains to facilitate talent exchange and skilling. and the MOU between the Bharat 6G Alliance and EU 6G Smart Networks and Service Industry Associations, have been positive outcomes.
Despite these intentions, the TTC has not met with as much frequency and enthusiasm as originally envisaged. It could have been a glimmer of hope in the darkness of the FTA but now seems to be withering. The EU needs to contribute more to make it effective.
Expectedly, clean energy cooperation was a key focus. India and the EU are working together on green hydrogen, renewables, and sustainable energy systems. The European Investment Bank has pledged support for Indian hydrogen projects, reinforcing India’s push for a green hydrogen ecosystem. The EU’s support in initiatives like the International Solar Alliance and offshore wind energy further underscores a shared commitment to tackling climate change and advancing sustainable energy solutions for a greener future. With the U.S. veering away from these commitments, it seems to be up to the EU to prevent it from withering, and to make it worth India’s while to remain committed to its goals.
Defence and security ties between India and the EU got enough attention. Both sides have been actively collaborating in joint naval exercises, maritime security, and counterterrorism. The partnership extends to tackling broader security challenges, including cyber threats and safeguarding critical infrastructure, reinforcing their shared commitment to global security. To be meaningful, this must expand into defence production and technology-sharing and transfers. Production hubs in India will offer breakthroughs in wider and cost-effective marketing. With the EU, worried about NATO receding, now committed to a Euro 800 billion ReArm Europe Plan, many new opportunities for collaboration in this sector can be identified.[6]
The Indian diaspora plays a crucial role in deepening India-EU relations, contributing significantly to Europe’s economies, especially in IT, healthcare, and engineering. So do Indian students and researchers participating in programs like Erasmus scholarships and Marie Skłodowska-Curie Actions.
These cultural and academic exchanges not only foster mutual understanding but also serve as the backbone of a stronger strategic partnership, enhancing cooperation across various sectors and ensuring long-term engagement between the two regions.
The collaboration between the EU and India from 2020 to 2025 has been guided by the EU-India Strategic Partnership Roadmap, the EU Strategy for Cooperation in the Indo-Pacific, and the Global Gateway Strategy. There are over 50 EU-India sectorial dialogues, reflecting the depth and breadth of the partnership.
A series of next steps have been agreed to, especially to expedite the conclusion of the FTA by the end of the year, have review meetings with partners to take stock on the IMEC initiative, engage on maritime domain awareness with a view to promoting shared assessment, coordination and interoperability, and hasten convening of the next meeting of the TTC at an early date to deepen cooperation in semiconductors and other critical technologies.
The timing of the EU delegation’s visit to India was notable, even though it had been planned months in advance. Beyond being a first-of-its-kind engagement, the visit recognized India as a key voice of the Global South—one that the EU increasingly saw as a crucial partner.
The economic and security dimensions of the EU-India relationship, their respective approaches to China, and the unpredictable stance of the Trump administration—particularly toward Europe—created a vastly different backdrop and atmosphere from when the visit was initially discussed. This was a more agreeable Europe, one which is actively seeking to reinforce other strategic partnerships. Both India and the EU have long viewed each other as stabilizing forces in a multipolar world. However, to remain relevant in a rapidly evolving geopolitical landscape, they must move beyond a transactional relationship and act on strategic plans to revitalize their engagement.
If they can do so, they may finally overcome long-standing hurdles and present a stronger partnership model for the world. However, the fundamental question remains: What will be the real catalyst for dynamism between India and the EU? Even as the Ukraine crisis dominates Europe’s focus, India remains wary that China’s growing influence is not receiving adequate attention from either the U.S. or the EU
Gurjit Singh is a former Indian Ambassador to Germany. He is currently promoting the impact investment movement for implementing SDGs in Africa.
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References
[1] Leaders’ Statement: Visit of Ms. Ursula von der Leyen, President of the European Commission and EU College of Commissioners to India (February 27-28, 2025), MEA, 28 February 2025, https://www.mea.gov.in/bilateral-documents.htm?dtl/39112/Leaders+Statement+Visit+of+Ms+Ursula+von+der+Leyen+President+of+the+European+Commission+and+EU+College+of+Commissioners+to+India+February+2728+2025
[2] Political Guidelines for the Next European Commission 2024-2029, EUCRIM, 17 September 2024, https://eucrim.eu/news/political-guidelines-for-the-next-european-commission-2024-2029/
[3] Indian official calls EU carbon border tax unfair and unacceptable, Climate Home news, 1 August, 2024, https://www.climatechangenews.com/2024/08/01/indian-official-calls-eu-carbon-border-tax-unfair-and-unacceptable/
[4] Transcript of Special briefing by MEA on the visit of the President of the European Commission to India, February 28, 2025, MEA, https://www.mea.gov.in/media-briefings.htm?dtl/39114/Transcript_of_Special_briefing_by_MEA_on_the_visit_of_the_President_of_the_European_Commission_to_India_February_28_2025
[5] The EU and India reinforce strategic ties during landmark visit of the College to New Delhi, European Commission, 28 February, 2025, https://ec.europa.eu/commission/presscorner/detail/en/ac_25_649
[6] Press statement by President von der Leyen on the defence package, European Commission, 4 March, 2025, https://ec.europa.eu/commission/presscorner/detail/sv/statement_25_673