Story perspectives

India Pursues 'Mother of All Deals' with EU

1/23/2026

Summary

India Secures Trade Deal

India aims to secure a trade agreement with the European Union during European Commission President Ursula von der Leyen's January 25-27 visit to address U.S. tariffs and boost trade.
The deal is described as the 'mother of all deals' by Indian officials, signaling high expectations.
The EU has suspended Generalised Scheme of Preferences export benefits, raising tariffs on 87% of India's exports to the bloc.

Summary

India Attracts Investment

PwC's 29th Annual Global CEO Survey shows India ranks second in cross-border investment, with 13% of CEOs planning investments in India.
The confidence stems from growth fundamentals, a consumer market, and policy stability, despite US tariffs.
India's gross domestic product (GDP) is projected to grow 7.4% in FY 2025-26, supported by domestic demand and investment.
Analysts say turning India's demographic advantage into productive employment requires reforms in manufacturing and technology.

History

Historical Context

Established in 1947, the General Agreement on Tariffs and Trade (GATT) aimed to promote international trade by reducing tariffs, significantly lowering average tariffs from 22% to 5% by 1999. As India seeks a trade agreement with the European Union amid rising tariffs on 87% of its exports, this reflects ongoing global trade challenges, with India's economic growth projected at 7.4% for FY 2025-26.

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India Secures Trade Deal

India aims to secure a trade agreement with the European Union during European Commission President Ursula von der Leyen's January 25-27 visit to address U.S. tariffs and boost trade.
The deal is described as the 'mother of all deals' by Indian officials, signaling high expectations.
The EU has suspended Generalised Scheme of Preferences export benefits, raising tariffs on 87% of India's exports to the bloc.

1 / 3