
EU and India Advance Strategic Partnership with Defense Cooperation, Push for 2025 Trade Deal
Trade and defense bonds grow strong
East meets West anew
European Commission President Ursula von der Leyen announced plans to explore a security and defense partnership with India during high-level meetings in New Delhi on February 28, 2025, while both sides committed to finalizing a comprehensive free trade agreement (FTA) by year's end [1][3].
The proposed security partnership, modeled after similar EU arrangements with Japan and South Korea, aims to address common challenges including cross-border terrorism, maritime security, and cyber threats [7]. This marks a significant expansion of EU-India cooperation beyond existing trade relationships.
"We are exploring a future Security and Defence Partnership with India in the mould of the partnerships we have with Japan and South Korea," von der Leyen stated during her address in New Delhi [7].
The visit comes at a crucial time as the EU seeks to diversify its strategic partnerships amid growing global tensions. Von der Leyen is accompanied by 20 members of the EU's College of Commissioners - their first collective visit outside Europe since receiving their new mandate [6].
On the trade front, bilateral relations have shown significant growth, with the EU currently serving as India's largest trading partner. Trade volume reached $137 billion in goods and over $51 billion in services during 2023-24 [9]. Both sides have directed their teams to conclude the long-pending FTA negotiations by the end of 2025.
The upcoming 10th round of FTA negotiations is scheduled for March 10-14 in Brussels [2]. Key discussion points include addressing non-tariff barriers such as the EU's Carbon Border Adjustment Mechanism, which India argues could impact its MSMEs with tariffs up to 35% on certain goods [9].
The meetings also focused on strengthening cooperation in technology and innovation, with both sides agreeing to collaborate on semiconductors, artificial intelligence, high-performance computing, and 6G development [1].