India-European Union (EU) working with sincerity and commitment to finalise a balanced Free Trade Agreement: Union Minister of Commerce and Industry Mr. Piyush Goyal

India and the European Union (EU) are moving closer to finalising a comprehensive Free Trade Agreement (FTA), which aims to create balanced opportunities for businesses and consumers across both regions. Speaking at the 65th Annual Session of the Automotive Component Manufacturers Association (ACMA), Union Minister of Commerce and Industry Mr. Piyush Goyal said that the FTA negotiations are progressing positively, with fairness and mutual benefit at the centre of discussions. He emphasised that the automotive component sector, with its track record of resilience and integration with global value chains, will play a key role in unlocking opportunities for trade, investment, technology transfer, and collaborative research and development. The agreement is expected to encourage joint ventures, promote innovation, and strengthen India’s position as a cost-competitive hub for high-quality automotive manufacturing.

European Union Commissioner for Trade and Economic Security Mr. Maros Sefcovic highlighted that the ongoing talks represent some of the most constructive and ambitious negotiations ever held between the two partners. Both sides are committed to concluding an economically meaningful package that balances the interests of producers, exporters, and consumers, while fostering sustainable practices and deeper cooperation. With India’s expanding growth story and Europe’s technological strengths, the partnership is poised to deliver long-term value. Alongside the FTA, recent Goods and Services Tax (GST) reforms reducing rates across vehicles and components are expected to boost demand, create jobs, and strengthen supply chains, further enhancing competitiveness in the automotive sector.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.