The 16th India-EU Summit, held on January 27, 2026, in New Delhi, has set the stage for a deeper strategic partnership aimed at reinforcing multipolarity and mitigating risks in the global order. External Affairs Minister S. Jaishankar emphasized that the agreements finalized at the summit, including the Free Trade Agreement (FTA), the Security and Defence Partnership, and the Comprehensive Framework of Cooperation on Mobility, lay the foundation for a more robust India-EU relationship.
The India-EU FTA, a deal proposed in 2007 and revived in 2022, is projected to create a combined market of 2 billion people, accounting for approximately 25% of global GDP. Removing tariffs on 97% of goods, the agreement is expected to significantly boost Indian manufacturing, particularly in sectors like textiles, gems, and leather, while opening India's market to European cars and machinery. European Commission President Ursula von der Leyen has hailed the agreement as "the mother of all deals," positioning it as part of Europe's strategic pivot toward Asia, offering a first-mover advantage for Europe in one of the world's fastest-growing continents.
In addition to trade, the summit saw the unveiling of a Security and Defence Partnership, designed to expand cooperation under the EU's SAFE (Security and Defence Procurement) program. India's participation in SAFE, a €150 billion EU initiative, is expected to facilitate access to new joint procurement frameworks and defense interoperability standards. Both parties are also set to commence negotiations on a Security of Information Agreement to strengthen industrial defense collaboration. This partnership follows the historic participation of EU naval personnel in India's Republic Day parade, focusing on shared challenges such as maritime security and counter-terrorism.
The growing convergence between India and the EU also occurs amid renewed trade friction with the United States, signaling a desire to build diversified and stable trade linkages independent of singular strategic dependencies.
European Council President António Luís Santos da Costa announced the conclusion of trade negotiations, highlighting that the summit sends a clear message that the EU and India stand together as strategic and reliable partners during a period of global reshaping. Costa emphasized that as the two largest democracies, the EU and India are working together to deliver tangible benefits for their citizens and to shape a resilient global order that underpins peace, stability, economic growth, and sustainable development.
Prime Minister Narendra Modi emphasized the India-EU union as a "partnership for global good," noting that the two powers will advance trilateral projects from the Indo-Pacific to the Caribbean and establish the India-Middle East-Europe Economic Corridor (IMEC) as a vital link for global trade.
Ahead of the summit, Jaishankar met with ambassadors from all 27 EU countries, describing the discussion as an opportunity to assess a rapidly evolving global environment characterized by volatility and instability. He advocated for stronger India-EU relations to de-risk the world economy through cooperation on resilient supply chains, reassure the international community by providing public goods, and stabilize the global order through stronger trade, mobility, and security partnerships.
