European Commission President Ursula Von der Leyen is in New Delhi to promote a free trade agreement between India and the European Union. Discussions have been stalled since 2007, but the current geopolitical situation may revive them.
The EU is India's largest trading partner, accounting for €124 billion in goods trade in 2023, which is more than 12% of India's total trade. While this expanding market offers significant opportunities for Europe, it remains protected by high customs duties. Negotiations for a trade agreement, relaunched in 2022, have not yet been successful.
Von der Leyen's visit occurs amidst significant tensions in transatlantic relations, with the U.S. threatening the EU with new customs duties and opening direct negotiations with Russia regarding the war in Ukraine.