India Eyes EU Trade Deal Amidst Trump's Tariff War: 84% Export Protection Possible

• India is strategically positioning itself for a trade agreement with the European Union (EU) amidst potential US import duties under Donald Trump.
• A deal with the EU could protect 84% ($67.2 billion) of India's current $79.4 billion exports to the US, diverting them to European markets.
• Key sectors like gems and jewellery, pharmaceuticals, and smartphones offer significant growth potential in the EU market for Indian exporters.
• The India-EU Summit on January 27, 2026, in New Delhi, with EU leaders as Republic Day chief guests, signals the deal's importance.
• Challenges include stricter EU standards and regulations, requiring Indian exporters to adapt to European quality requirements.

Why It Matters: India aims to secure a major trade deal with the EU to safeguard exports from potential US tariffs.