On January 27, Indian Prime Minister Modi announced that India and the European Union have completed the negotiations on a free trade agreement, and pointed out that the new agreement will enhance the confidence of investors and businesses in India.
Modi said: "Just yesterday, India and the EU signed a significant agreement. This agreement will benefit 1.4 billion people in India and bring great opportunities for millions of people in Europe. This agreement is a model of coordinated cooperation between two major economies."
India and the EU have officially completed the negotiations on the free trade agreement (FTA). This is a milestone agreement reached after nearly 20 years of negotiations. The agreement marks a market covering about 25% of global GDP and approximately one-third of trade, creating a market covering about 2 billion consumers, significantly reducing tariffs, and improving market access.
The impact of this agreement goes far beyond pure trade:
For India, it is the "most extensive trade liberalization agreement" it has ever signed. Over 99% of India's exports to the EU will gain preferential access, directly benefiting labor-intensive industries such as textiles, leather, and jewelry, and promoting "Make in India."
For the EU: The agreement is expected to double its exports to India, saving European exporters up to 4 billion euros in tariffs annually. President of the European Commission, von der Leyen, called it a "historic day."
From a geopolitical economic perspective, analysts point out that in the context of the United States imposing high tariffs on India, the EU, and other economies, the conclusion of this agreement is also seen as a key move for both sides to seek strategic hedging and deepen cooperation.
Original: toutiao.com/article/1855478591358092/
Statement: This article represents the views of the author himself.