EU and India seek closer relations in shadow of Russia
The European Commission has proposed a new EU-India Strategic Agenda, for the bloc to develop ties in trade and security with the world's most populous democracy. However, India's enduring alliance with Russia remains a source of disagreement between the two sides.
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00:00India is the new target in the European Union's search for new partnerships.
00:19The world's most populous democracy has great potential for the bloc to develop ties in trade and security.
00:28However, the enduring alliance between India and Russia remains a source of disagreement between the two parts.
00:35EU Decoded will examine the new EU-India strategic agenda.
00:40With bilateral trade in goods worth 120 billion euros, the EU is India's largest trading partner.
00:48There are 6,000 European companies operating in India.
00:52The EU would like to conclude a free trade agreement by the end of the year in order to significantly reduce tariffs and other barriers.
01:01Agriculture is one of the most difficult sectors in the negotiations, particularly wine and spirits, processed foods and dairy products.
01:11In view of the ongoing geopolitical alignments, another pillar to be developed is the new EU-India security and defense partnership.
01:21Later in the program we will talk more about that, but let's see what Europeans think of closer ties with India.
01:28There are no friends between the countries and there are only interests.
01:35Do you understand?
01:36There are no friends between the countries and countries and countries and countries.
01:37There are no friends between India and Russia, which either European countries and other countries and countries and countries,
01:39such as the European countries and countries.
01:53There are the so-called economic commitments that exist, where morality leaves the time
01:59that they find.
02:00Ormai, the world is all globalized, so I don't know what is possible to do otherwise.
02:07I think it should really find important agreements, especially on human union, and then start
02:15a discussion on the economic level.
02:17Euronews reporter Jorge Liborero has been covering this topic.
02:22What explains all the attention that Brussels is paying to New Delhi's government?
02:27Well, I think it's a mix of diplomatic desperation and strategic pragmatism, because right now
02:34the European Union has very tense relations with the United States, it has confrontational
02:39relations with China, and adversarial relations with Russia, so it's a very complicated geopolitical
02:46situation.
02:47And it's now looking at India, which is the world's most populous country.
02:52It's a rising economic superpower, and it's a major actor in the so-called global south.
02:57So it fits these credentials for a new partnership, an important partnership for, you know, navigate
03:03together this turmoil of the 21st century.
03:06Does this mean that India's traditional alliance with Russia is no longer a red line for the
03:12European Union?
03:13Well, it's a major source of friction.
03:15We have seen recently Indian soldiers participate in joint military exercises of Russia and Belarus
03:22near the borders with Poland and Lithuania.
03:24And we also know that India is a major client of Russia's crude oil, which is fundamental to
03:30finance the invasion of Ukraine.
03:33What's happening right now is that we are changing the geopolitical calculus and we are
03:38deciding to be more flexible regarding this red line and to focus on the benefits rather
03:44than wasting time on the disagreements.
03:47And how does the European Union fit into India's foreign policy?
03:52Right now, India's relations with the United States are at a rock bottom.
03:58We have seen Donald Trump doing whatever he can to alienate New Delhi, 50 percent tariffs,
04:04you know, a new approach towards Pakistan.
04:06So India is also very shocked by the Trump administration.
04:10And it's seen that the European Union could be this new big partner in the West.
04:14So, you see, both sides, the European Union and India, have bad relations with Trump and
04:20are coming now together.
04:22Thank you, Jorge.
04:24Let's take a closer look at India's defense plans.
04:28India's defense budget for 2025-2026 is 69 billion euros.
04:34Its traditional supplier is Russia, which accounts for 36 percent of its purchases.
04:39However, India has been buying more from the West, particularly the US, Israel, the UK, France
04:47and Germany.
04:48In the case of EU countries, two agreements were signed in 2025.
04:53France sold 26 Rafale Marine combat aircraft, valued at 7 billion euros.
04:59Germany will build six Type 214 submarines with Indian partners, valued at 5 billion euros.
05:07Our guest is German Angelica Niebler from the EPP Group in the European Parliament, chair
05:13of the Delegation for Relations with India.
05:16Does the EU have more to gain than to lose by strengthening its relationship and partnership
05:22with India, which accuses of helping Russia maintain its war economy?
05:28India is a very, very important political power.
05:32India is a great economy, huge, one of the biggest economies in the world.
05:38And as regards to defense and security, I think when we really agree on terms, it will
05:43help both of us.
05:44We know that India and Russia had a long-standing relationship.
05:48And I think you can't just cut ties from one day to another.
05:53So for us, I think it's important to engage, to also express our concerns, to also try to
05:58understand what their perspective, what their interests are.
06:02And then, of course, you know, defending our own interests.
06:04The US president, Donald Trump, imposed, has imposed 50 percent tariffs on India and has
06:11asked the EU to follow suit, going even to 100 percent tariffs, arguing that this would
06:18help stop the war in Ukraine.
06:21What will be the impact of this agreement with India in the US-EU relationship?
06:28I think the general policy in all regions in the world is to go for more independence,
06:35to become more resilient.
06:37That is what actually India is heading for.
06:39That is what the European Union is heading for.
06:41I think that's the right approach.
06:43It's getting more resilient.
06:46But no region in the world can do it on its own.
06:48So I think the way forward is to go for multilateralism, to see where you have friends, where you have
06:56a sort of common understanding.
06:58Although China is an historical rival of India, Prime Minister Narendra Modi has shown willingness
07:05to have a closer relationship with the Beijing government.
07:09Can you really trust India as an ally?
07:13Let's concentrate on our policy.
07:16I do not want to blame the others for doing this or that.
07:19We have to have a pragmatic and realistic approach, I fully agree on that.
07:23But always concentrating on what is in our interest, what is strengthening the European Union.
07:28Brussels wants diplomatic efforts to consolidate into a new India summit sometime in early 2026.
07:37For the time being, all 27 member states are on board with this strategy, which allows for negotiations to move at a faster pace.
07:45Faced with disappointments with traditional allies such as the US, the EU is now willing to take a more pragmatic approach and some risks with new partners.
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