‘Mother Of All Deals’: EU Chief On Trade Deal With India Ahead Of India-EU Summit | India News

European Commission President Ursula von der Leyen stated at the World Economic Forum in Davos that the EU is close to completing the free trade agreement with India, but final negotiations are continuing.

“There is still work to be done, but we are on the brink of a historic trade agreement; some call it the mother of all agreements,” European Commission President Ursula von der Leyen said at the World Economic Forum in Davos. he said. This agreement will unite 2 billion people, representing almost a quarter of global GDP, as part of the EU’s efforts to diversify its trading partnerships.

This statement came ahead of the India-EU summit scheduled to be held in New Delhi on January 27, 2026. The President of the European Union will also be the chief guest at the 77th Republic Day celebrations on January 26, 2026.

Leyen’s statement also emphasizes the US President’s efforts to reduce dependence on the USA with the customs duties he constantly imposes.
Earlier this month, US President Trump imposed a 10 percent tariff on selected European countries, including Denmark, Finland, France, Germany, the Netherlands, Norway, Sweden and the UK, in an attempt to buy Greenland.

Also Read: Announced | Can Europe’s Trade ‘Bazooka’ Stop Trump’s Greenland Tariff Threats?

Von der Leyen’s move underlines the EU’s efforts to reduce its dependence on the United States in the face of increasing trade frictions. Earlier this month, President Trump imposed a 10% tariff on goods from Denmark, Finland, France, Germany, the Netherlands, Norway, Sweden and the United Kingdom, starting February 1, 2026, in an effort to pressure Greenland purchase negotiations; It has made the India-EU Free Trade Agreement (FTA) a vital diversification pillar, with the threat of a 25% increase by June.

The deal could boost trade between the giants. The trade deal is in line with India’s Act East plan and the EU’s Global Gateway project, strengthening chip, renewable energy and pharmaceutical supply chains to compete with China.

It opens, as Ursula von der Leyen said, ‘massive new opportunities’ for business and new ideas in the 27 countries of the European Union and India’s fast-growing economy.