Overview
- The agreement cuts or eliminates tariffs on about 96–97% of EU goods, with the bloc estimating up to €4 billion in annual duty savings.
- Car import duties will be phased down to roughly 10% under an annual quota of about 250,000 vehicles, with broad reductions across machinery, chemicals, pharmaceuticals and processed foods.
- EU service providers gain expanded access in areas such as financial and maritime services, while India expects improved entry for labour‑intensive exports including textiles, leather, gems and jewellery.
- A separate Security and Defence Partnership was signed alongside the trade package, with plans for cooperation on maritime security, defence industry and technology, cyber and hybrid threats, space and counter‑terrorism.
- Officials say the text now undergoes legal scrubbing, with formal signature targeted later in 2026 and entry into force contingent on European Parliament ratification and India’s internal approvals, likely taking effect next year.