Home Europe Germany India Continues On German Backing To Fast-Track EU Trade Negotiations

India Continues On German Backing To Fast-Track EU Trade Negotiations

India-EU trade talks, revived in 2021 after an eight-year pause, face obstacles over EU demands to lower tariffs on cars and dairy alongside tougher climate and labour standards.
German Foreign Minister Johann Wadephul and Indian Foreign Minister Subrahmanyam Jaishankar shake hands following talks in Berlin, Germany, May 23, 2025. REUTERS/Annegret Hilse/File Photo

India is relying on Germany’s support to strengthen its relationship with the European Union (EU) and accelerate trade talks, External Affairs Minister Subrahmanyam Jaishankar said on Wednesday, while also calling for bilateral trade with Berlin to be doubled.

Jaishankar met his German counterpart, Johann Wadephul, who is on a two-day visit to India, in New Delhi, with both ministers later calling for an increase in bilateral trade, including in the areas of defence and security.

“We count on your support to deepen our relationship with the European Union and expedite the FTA negotiation,” he told Wadephul as they began their talks, referring to a free trade agreement.

Trade Negotiations

Trade negotiations between India and the EU – which resumed in 2021 after being stalled for eight years – have faced hurdles over the EU’s push to cut import taxes on cars and dairy while seeking stricter climate and labour rules on Indian goods.

India wants to protect local farmers, avoid rigid green rules and keep control over legal disputes.

While Jaishankar, speaking to reporters after Wednesday’s meeting, said India would like the FTA to reach a “decisive conclusion” in the coming days, the German minister said the deal could be concluded in the coming months.

“If others put up trade barriers, then we should respond by lowering them,” Wadephul said.

Commerce and Industry Minister Piyush Goyal had said on Tuesday that trade officials were holding talks in Brussels.

Wadephul’s visit comes days after the U.S. doubled its tariffs on Indian goods, imposing a punitive 25% additional levy over India’s purchases of Russian oil, seen by Washington as financing Moscow’s war effort in Ukraine, on top of the initial 25% tariff that was announced in July.

India has sharply criticised both the U.S. and the EU, saying it is being unfairly singled out by them over its Russian oil purchases when they both trade extensively with Moscow despite the war in Ukraine.

(With inputs from Reuters)

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