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From trade to defence: EU unveils ‘New Strategic Agenda’ with India, defies Trump’s tariff push

From trade to defence: EU unveils ‘New Strategic Agenda’ with India, defies Trump’s tariff push
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EU's latest move to deepen ties with India comes amidst strong pressure from US President Donald Trump to impose a 100% tariff on India for purchasing Russian oil and defence equipment.

From trade, technology and defence, to connectivity and climate change, the European Union is strengthening ties with India.

European Commission President Ursula von der Leyen on Wednesday unveiled the ‘New Strategic EU-India Agenda' to tackle major global challenges.

The new agenda proposes advancing trade, investment and deepening defence and tech cooperation, including a potential EU-India Startup partnership.

India-EU cooperation

It suggests ambitious initiatives for decarbonisation and the clean transition, such as developing green hydrogen capabilities.

The proposal also aims to facilitate mobility of labour and students, and emphasises strengthening regional connectivity initiatives, such as the India-Middle East-Europe Economic Corridor.

Closer cooperation on the Indo-Pacific, addressing hybrid threats, space security, and intensifying engagement on Russia's war against Ukraine and sanctions are other areas of focus

The call to deepen ties with India comes amidst strong pressure from US President Donald Trump to impose a 100% tariff on India for purchasing Russian oil and defence equipment.

But experts claim that Europe is adopting a different approach.

EU's re-approach to India-Russia ties

Instead of penalising India, the bloc is aiming to push for a trade deal and enhance strategic ties to lure New Delhi away from Russia’s influence.

While announcing the initiative, EU foreign policy chief Kallas warned that India's participation in recent Russian military exercises and purchases of Russian oil could "stand in the way of closer ties” with the bloc.

“Because ultimately our partnership is not only about trade but also about defending rules-based international order. Our negotiations will address these challenges and with the aim of adopting a joint roadmap at the EU-India summit in early 2026," Kallas said.

The new strategic agenda announced on Wednesday will have to be ratified by all 27-member nations of the EU.

After the ratification process, it will be adopted at the India-EU summit that is expected to be held in the first quarter of next year.

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