On February 27-28, the EU Commission President Ursula von der Leyen, visited New Delhi, accompanied by twenty-two EU Commissioners. The visit of this high-powered delegation, including almost the entire college of Commissioners, was the first of its kind rolled out to any EU partner. On the program was a bilateral between Ursula von der Leyen and Prime Minister Narendra Modi, meetings between the Commissioners and their Indian ministerial counterparts, and the second meeting of the EU-India Trade and Technology Council (TTC).
The biggest deliverable of this visit was setting the agenda for a new and more strategic EU-India partnership. We saw the clearest articulation in recent years of the EU’s interest and ambitions for working with India. Speaking in New Delhi, von der Leyen stated that in the era of Great Power competition, the interests of EU and India align like never before, underlining that this is an opportune moment to “reimagine” this partnership. Furthermore, the visit underlined the role of India as an economic alternative to China – Europe’s tensions with China have been the primary impetus for reviving ties with other Indo-Pacific partners, particularly India. The Commission’s President referred to “economic coercion” and exploitation of supply chain dependencies, in a covert reference to China, and listed the ‘alternatives’ that the EU and India can offer each other.
Three New Areas for the Partnership
The visit showcased three strategic areas the EU and India will focus on going forward. First is trade and technology. Both leaders announced the ambition to conclude their Free Trade Agreement by the end of this year – which will be an uphill task. For the first time, the EU mentioned India as a partner in economic security. The Draghi report on European competitiveness recommends that the EU should focus on “increasing security and reducing dependencies.” The visit showcased the EU’s plan of working with India in critical sectors, such as batteries, pharmaceuticals, semiconductors and green hydrogen – where the EU seeks to ‘derisk’ from China and India wants to move up the supply chain. Market access and reducing barriers to trade in these sectors would be critical for both.
