Europe Charts Its Own Course: Von der Leyen in India for Historic Trade and Defence Pact

As transatlantic relations fray, the European Commission President arrives in New Delhi for what officials call the 'mother of all trade deals' - a partnership covering two billion people that signals Europe's push for strategic independence.

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Europe Charts Its Own Course: Von der Leyen in India for Historic Trade and Defence Pact

European Commission President Ursula von der Leyen arrived in New Delhi on 25 January for a landmark four-day visit that will culminate in what officials are calling a turning point in global trade. The EU and India are set to announce the conclusion of negotiations on the "mother of all trade deals" at Monday's summit, a pact that would create a market of nearly two billion people.

The timing is no coincidence. As American policy becomes increasingly unpredictable and protectionist, Europe is building alternative partnerships.

A Fractured World Seeks New Alliances

Von der Leyen's message from Delhi struck a tone that would have been difficult to imagine a decade ago. She emphasised that India and Europe are showing "a fractured world that another way is possible" through "strategic partnership, dialogue and openness."

The statement reflects growing sentiment across Europe that the continent must chart its own course. In a post that received nearly 38,000 engagements, commentator Daractenus captured the mood among many Europeans: "We in Europe must come to terms with the fact that this is precisely the kind of country a significant percentage of the US population wants to have. Europe cannot be the ally or the partner of this."

The debate over European strategic autonomy has intensified significantly in recent weeks as Washington's foreign policy has alarmed traditional allies.

The Mother of All Deals

At the World Economic Forum in Davos last week, von der Leyen announced that negotiations were nearly complete. EU Trade Commissioner Maros Sefcovic confirmed that the two sides are "nearing the conclusion of our negotiations."

The proposed free trade agreement would account for close to a quarter of global GDP, according to the European Council. It would cut tariffs on European cars and wine while expanding market access for Indian electronics, textiles, and chemicals.

The EU, as a bloc, is already India's largest trading partner in goods. For the financial year 2024-25, bilateral trade in goods was worth approximately USD 136 billion. The new agreement would significantly expand this relationship at a time when both partners are seeking to reduce dependence on other markets.

Defence and Security Partnership

Trade is only part of the story. The 16th India-EU Summit on Monday is also expected to deliver an ambitious security and defence partnership. According to Business Standard, the proposed pact would place India's security ties with the 27-member bloc on a par with those the EU has with Japan and South Korea.

The partnership is expected to cover maritime security, cybersecurity, and counterterrorism. India would also be eligible to participate in the EU's SAFE programme, a 150 billion euro financial instrument aimed at accelerating defence readiness.

This comes as Europeans increasingly discuss the need for military independence from the United States. A viral poll asking whether Europeans support creating their own military alliance with Ukraine but without the USA generated nearly 30,000 engagements.

The top reply to that poll received over 450 likes: "Yes. Get the US the f out of Europe." While sentiment is divided, the conversation itself marks a shift in European thinking that would have been marginal just years ago.

Republic Day Honour

Von der Leyen and European Council President Antonio Costa served as guests of honour at India's 77th Republic Day celebrations on 26 January. This marked the first time EU leaders have attended the parade in this capacity.

Von der Leyen described the invitation as the "honour of a lifetime" and stated that "a successful India makes the world more stable, prosperous and secure."

Technology and Innovation

Beyond trade and defence, the partnership includes significant technology cooperation. The India-EU Trade and Technology Council, launched in 2022, is fostering collaboration in artificial intelligence, semiconductors, 6G, and quantum technology.

Horizon Europe funds joint research and development in these areas, boosting India's digital infrastructure and innovation capacities while giving European firms access to one of the world's fastest-growing tech markets.

Looking Ahead

The India-EU strategic partnership has evolved from a largely ceremonial relationship into what officials are positioning as a pillar of the emerging multipolar order. For Europe, this represents a practical response to uncertainty: building diversified partnerships that reduce vulnerability to any single ally's political shifts.

The summit on 27 January is expected to formalise a comprehensive strategic vision guiding the relationship from 2026 to 2030. Whether this new axis can deliver the stability both partners seek remains to be seen, but the direction of travel is clear: Europe is actively building a future in which it is no longer solely dependent on transatlantic goodwill.

S
Sophie Dubois

January 26, 2026