EU Trade Deal: India's Export Lifeline Against US Tariffs

• An EU trade agreement could absorb 84% of India's exports currently hit by punitive US tariffs, totaling nearly $40 billion.
• EU Commission president Ursula von der Leyen described the potential deal as the "mother of all deals."
• Key sectors like gems and jewellery, seafood, and textiles could significantly benefit from improved market access in the EU.
• India's exports of precious metal jewellery to the EU were $784 million compared to $3.1 billion to the US in 2024, indicating untapped potential.
• While not a full offset, the EU deal would cushion the blow for high-value manufacturing and labour-intensive sectors.

Why It Matters: An EU trade deal offers significant relief for Indian exports impacted by US tariffs, opening new market opportunities.