EU Sets Out New India Strategy

The EU has proposed a new strategic agenda to raise bilateral relations with India.

The European Commission and the High Representative adopted a Joint Communication outlining a ‘New Strategic EU-India Agenda' marking a significant milestone in EU-India relations.

This initiative, announced by President von der Leyen in her Political Guidelines for 2024-2029, aims to deepen, broaden, and better coordinate bilateral cooperation, enhance prosperity and security for both partners and help tackle major global challenges.

President Ursula von der Leyen said “Now is the time to focus on reliable partners and double down on partnerships rooted in shared interests and guided by common values. With our new EU–India strategy, we are taking our relationship to the next level. Advancing trade, investment and talent mobility. Strengthening our joint economic security. Advancing the clean transition and driving innovation together. Deepening our industrial cooperation in defense. Europe is already India's biggest trading partner and we are committed to finalizing our Free Trade Agreement by the end of the year. Europe is open for business. And we are ready to invest in our shared future with India.”

The Joint Communication outlines the EU's strategic vision for enhancing cooperation with New Delhi. It identifies five areas of shared interest and complementary strengths, building on existing ties while addressing areas that present potential for increased engagement. Amid shifting geopolitical realities, closer EU–India relations are increasingly vital for strengthening economic growth and security, and diversifying supply chains in response to today's uncertain global order. Beyond the bilateral dimension, the new strategic agenda highlights EU-India joint engagement on global issues and with third partners, reflecting India's growing global influence.

The Joint Communication identifies significant untapped potential in trade and investment, outlining strategies to strengthen commercial ties, particularly finalizing the ongoing negotiations on a Free Trade Agreement (FTA). It proposes reinforcing supply chains while promoting critical emerging technologies and engagement on digital issues, with particular attention to strengthening economic security within the Trade and Technology Council (TTC).

This new strategy also proposes deepening tech cooperation, including a potential EU-India Startup partnership, and invites India to associate with Horizon Europe program. It suggests ambitious initiatives for decarbonization and the clean transition, such as intensifying cooperation on renewables, developing green hydrogen capabilities and expanding green finance. Moreover, it highlights opportunities to jointly strengthen food security, and health, climate and disaster resilience.

The Joint Communication takes forward the proposed EU-India Security and Defence Partnership. This will enhance strategic consultations and joint initiatives, including on crisis management, maritime security, cyber defense, and counterterrorism, and foster defense industrial cooperation, focusing on boosting production and technological capabilities, securing supply chains, and driving innovation.

Launching negotiations for a Security of Information Agreement to facilitate classified information exchange will support closer security and defense cooperation. Closer cooperation on the Indo-Pacific, addressing hybrid threats, space security, and intensifying engagement on Russia's war against Ukraine, shadow fleets, and sanctions are other areas of focus.

Building on the proposals outlined in the Joint Communication, the EU seeks to complement the engagement of EU Member States with adoption of Council Conclusions foreseen at the Foreign Affairs Council in October.