The EU–India trade agreement
Talks began in 2007, stalled in 2013 and resumed in June 2022. The text was concluded in January 2026; it has not yet been signed.
Where it stands
- DoneNegotiations concluded
27 January 2026, at the 16th EU–India Summit in New Delhi.
- DoneProposal to the Council
11 September 2026: the Commission proposes signature and conclusion.
- ReportedSignature
Reported for 16 December 2026; not yet confirmed by the Council.
- ExpectedEuropean Parliament consent
Expected one to two months after signature.
- ExpectedEntry into force
Expected in early 2027, after India’s approval.
Main terms
| Area | EU commitments | India’s commitments |
|---|---|---|
| Tariff lines liberalised | More than 90% of lines (91% of trade value) | 86% of lines (93% of trade value) |
| Cars | – | From 110% to as low as 10%, within a quota of 250,000 vehicles a year |
| Wine | – | From 150% to 75% at entry into force, then down to 20–30% |
| Spirits and beer | – | Spirits to 40%, beer to 50% |
| Machinery, chemicals, pharmaceuticals | – | Tariffs of up to 44%, 22% and 11% largely removed |
| Excluded by the EU | Beef, poultry, rice, sugar, milk powders, honey, among others | – |
| Small firms | A dedicated SME chapter with contact points on both sides | Same chapter |
€4 bn a year
Duties EU exporters are expected to save, according to the European Commission.
€118 bn
EU–India goods trade in 2025, before the agreement takes effect.
~6,000
European companies present in India.
Outside the agreement
Investment protection
Negotiated separately since June 2022; not concluded.
Geographical indications
A separate agreement, also still under negotiation.
Carbon border adjustment (CBAM)
No exemption. India receives an assurance that any flexibility the EU grants another country will also apply to India.
Steel
Duty-free quotas, with volumes reported differently by the two sides; above quota, the EU’s 50% tariff applies.
Cross-border data flows
Deferred to a review within five years.
Movement of people
Short-term mobility of professionals is covered in the services chapter. Wider labour mobility runs through a separate EU–India memorandum signed the same day.
Sources
- European Commission: EU–India FTA, chapter-by-chapter summary
- EEAS / European Commission: EU and India conclude landmark free trade agreement, 27 Jan 2026
- European Parliament, Legislative Train: EU–India FTA, investment and GI agreements
- Reuters (via bilaterals.org), 27 Jan 2026: CBAM in the EU–India deal
- Reuters (via Euronext), 14 Sep 2026: steel quotas
- Indian Express (summary by SuperKalam), 2 Mar 2026: data flows deferred to review
- European Commission, DG Trade: EU trade relations with India
- The Hindu (summary by Vision IAS), 24 Sep 2026: signature reported for 16 Dec 2026
- European Commission: The EU–India trade agreement
Facts and figures checked 17 October 2026.