India and the 27-member European Union earlier this week inked a historic Free Trade Agreement that was nearly two decades in the making. The deal, signed during the visit of European Commission President Ursula von der Leyen and European Council chief António Costa for the Republic Day celebrations, has been dubbed as ‘mother of all deals’ by both sides.
The trade deal that came amidst global turbulence triggered by the United States’ tariff regime has been hailed by European and other world leaders as well as industrialists, international media and think tanks.
What global leaders said
German Chancellor Friedrich Merz described the finalisation of the FTA as a “very positive sign”, while calling for the swift implementation of the agreement to boost growth and prosperity.
Alexander Stubb, the President of Finland, called the trade deal “historic”, stating it was the largest trade deal ever concluded by either side.
Swedish Prime Minister Ulf Kristersson hailed the trade agreement as the “launch of a new era of cooperation, strengthening prosperity, competitiveness and security through trade and partnership.”
Business leaders hail deal
The industry too welcomed the deal wholeheartedly.
Jürgen Westermeier, President and Managing Director for India and South Asia at Airbus and President of the Federation of European Business in India, said the FTA was a “big moment” after nearly two decades of discussions, and added it would accelerate opportunities for both sides.
Airbus International president Wouter van Wersch reiterated the aircraft maker’s long-term commitment to Make in India, technology transfer, defence, space and advanced manufacturing.
Jan Noether, the Director General of the Indo-German Chamber of Commerce, said two billion people are joining hands as part of a deal that involves two sides with nearly a quarter of global GDP.
Other leading industry representatives, including CEOs from key German carmakers such as Volkswagen, BMW, and Mercedes-Benz, also lauded the deal’s potential to boost German exports to India and strengthen global supply chains.
What think tanks and experts said
Among think tanks, Richard Rossow, Senior Advisor at the Center for Strategic and International Studies (CSIS), said that positive optics reflect strong substance.
Michael Kugelman, Senior Fellow at the Atlantic Council, described the FTA as the “right deal at the right time”. Kugelman importantly noted that the deal goes beyond cushioning US tariffs.
According to geopolitical strategist Velina Tchakarova, the India-EU FTA is one of the most consequential geoeconomic deals of the decade, both in scale and in strategic intent.
The European Council on Foreign Relations said the FTA covers goods, services, investment, digital trade and regulatory cooperation.
India emerges as go-to partner: Global Media
The international media praised the Indian leadership for its steps amid the tariff tirade.
The Telegraph published an article with a headline, ‘Modi is real winner in ‘mother of all trade deals’ with EU’.
Bloomberg’s ‘All Roads Lead to Modi as World Hedges Trump’ underscored how New Delhi has emerged as the go-to partner for countries.
The Wall Street Journal framed the agreement as a response by middle powers to global tariff disruptions.
While The New York Times said that the deal brings together the world’s largest economic bloc and the fastest-growing major economy, The Washington Post and The Guardian highlighted the ‘mother of all deals’ description of the FTA.
Al Jazeera highlighted the scale of the deal, stating the FTA creates a USD 27 trillion market.