India and the European Union are stepping up engagement to fast-track outcomes of their January 27 summit, with several initiatives planned over the coming months, according to The Economic Times. An 11-member European Parliament delegation, led by Angelika Niebler, chair of the delegation for relations with India, is expected to visit India soon to strengthen parliamentary ties. In May, senior officials from both sides are set to hold consultations on the Indo-Pacific region, focusing on maritime security, supply chain resilience and regional stability. The India-EU Trade and Technology Council plans to meet at the ministerial level in mid-2026 to advance cooperation on digital trade and emerging technologies such as AI and 6G.
The proposed India-EU free trade agreement (FTA) is expected to significantly improve access to technology and create new opportunities for localisation and exports, according to The Times of India report. Piyush Arora, MD and CEO of Skoda Auto Volkswagen India, emphasized that the FTA strengthens their strategy of developing products in India for the Indian market while creating export opportunities. As reported by The Times of India, Arora noted that reduction in non-tariff barriers would help bring technology into the country, with easier access to global components supporting localisation over time.
Both sides are targeting completion of a Security of Information Agreement this year, which will enable sharing of classified data and deepen defence and intelligence collaboration, as reported by The Economic Times. This follows the Security and Defence Partnership agreed at the January summit. Visits by several EU commissioners to India are also being planned through the year to advance the strategic agenda. During a recent visit to Brussels, external affairs minister S Jaishankar met Antonio Costa, president of the European Council, and Ursula von der Leyen, president of the European Commission.
According to The Times of India report, Audi India, operating under Skoda Auto Volkswagen India, stated that the agreement could reshape the market, though its impact will depend on final terms and timelines. Balbir Singh Dhillon, head of Audi India, indicated that companies will need to revisit product and pricing strategies once details are clear. As reported by The Times of India, Dhillon highlighted that a large part of FTAs lies in investment flows and wealth creation, which could eventually support growth in the premium car segment.
As reported by The Times of India, the proposed FTA represents a significant development for the automotive sector, with industry leaders recognizing its potential to transform market dynamics. The agreement's focus on reducing non-tariff barriers and facilitating technology transfer is expected to create substantial opportunities for local manufacturing and export-oriented strategies in the premium automotive segment. The enhanced engagement initiatives demonstrate both sides' commitment to deepening defence industrial collaboration and maritime cooperation, as highlighted by Jaishankar during his recent Brussels visit.