Successful India makes world ‘more stable and secure’: EU chief Ursula von der Leyen ahead of trade deal – Firstpost

Successful India makes world ‘more stable and secure’: EU chief Ursula von der Leyen ahead of trade deal – Firstpost

European Commission President Ursula von der Leyen on Monday noted a successful India plays a vital role in making the world more “stable, prosperous and secure,” as she attended India’s 77th Republic Day celebrations as a chief guest amid expectations of a landmark India–EU trade agreement.

Calling her presence at the celebrations an “honour of a lifetime,” von der Leyen joined European Council President António Costa at the Republic Day parade at Kartavya Path.

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In a post on social media, she underscored India’s growing global importance. “A successful India makes the world more stable, prosperous and secure. And we all benefit,” she wrote.

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PM Modi on strengthening India–EU ties

Prime Minister Narendra Modi declared it was a privilege to host von der Leyen and Costa for the occasion, noting that their presence reflected the growing strength of India’s partnership with the European Union.

“Their presence underscores the growing strength of the India–European Union partnership and our commitment to shared values,” Modi mentioned in a post on X, adding that the visit would give fresh momentum to cooperation across sectors.

First time EU’s top leaders attend together

Notably, this was the first time that the European Union’s two top leaders attended India’s Republic Day celebrations together as chief guests.

President Droupadi Murmu, Prime Minister Modi, Union Cabinet ministers, foreign diplomats and senior officials were present at the ceremony, which showcased India’s military capabilities, indigenous defence systems and cultural diversity. A modest EU military contingent also participated in the parade.

Trade talks and summit-level meetings

Von der Leyen is on a three-day visit to India and is scheduled to hold summit-level talks with Prime Minister Modi on Tuesday. The visit coincides with the 16th India–EU Summit, where both sides are expected to announce the conclusion of negotiations on the long-pending free trade agreement.

Ahead of the visit, von der Leyen described the proposed pact as “historic,” saying it could reshape economic ties between India and the 27-member bloc.

‘On the cusp of a historic deal’

Speaking at the World Economic Forum in Davos last week, von der Leyen declared the agreement would create a combined trade of nearly two billion people, accounting for close to a quarter of global GDP.

“There is still work to do. But we are on the cusp of a historic trade agreement. Some call it the mother of all deals,” she declared, adding that the pact would give Europe a first-mover advantage in one of the world’s fastest-growing and most dynamic economies.

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What the trade deal could include

The European Union is currently India’s largest trading partner, with bilateral goods trade valued at $135 billion in the 2023–24 financial year. Negotiations for the free trade agreement were first launched in 2007, suspended in 2013 and revived in 2022.

As part of the talks, India is reportedly considering significant cuts in import duties on cars from the EU, potentially lowering tariffs to 40 percent from levels as high as 110 percent. Under the proposal, duties on a limited number of high-value vehicles would be reduced immediately and phased down further over time, improving access for European automakers such as Volkswagen, Mercedes-Benz and BMW.

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Strategic signal from Brussels

European Council President António Costa, who assumed office in December 2024, and von der Leyen are accompanied by a high-level EU delegation. Their joint presence at Republic Day highlights the diplomatic weight of the visit and signals the EU’s deepening engagement with India as Brussels recalibrates its global partnerships.

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