India, EU Restart FTA Talks in New Delhi, Eye Year-End Deal

• India and the EU resumed Free Trade Agreement (FTA) talks on December 8 in New Delhi, aiming to conclude negotiations by year-end.
• Discussions focus on ironing out gaps in trade of goods and services, investment rules, and regulatory standards.
• Key sticking points include the EU's Carbon Border Adjustment Mechanism (CBAM), market access for automobiles and steel, and rules of origin.
• The EU is India's second-largest trading partner; an FTA would reduce tariffs and boost Indian exports like textiles, pharmaceuticals, and steel.
• Negotiations, which stalled in 2013, formally resumed in June 2022, with 10 of 20+ chapters officially closed.

Why It Matters: FTA talks will significantly impact India's trade, economy, and global competitiveness.