European Commission President Ursula von der Leyen said on Wednesday that the European Union intends to formally sign its landmark free trade agreement with India by the end of the year. The announcement came after von der Leyen met Indian Prime Minister Narendra Modi at the G7 summit in France.
Von der Leyen posted an update on X, noting that after the parties had "concluded the mother of all trade deals," they had been "moving fast to deliver on our commitments. We will sign the Free Trade Agreement by the end of the year."
The agreement, which negotiators reached in January after protracted talks, aims to cut tariffs on most goods traded between the EU and India. According to figures cited by the EU, the deal will eliminate or reduce tariffs on 96.6% of traded goods by value, and is forecast to double EU exports to India by 2032.
The EU has also estimated that the tariff changes will translate into duty savings of 4 billion for European companies, with an exchange rate reference noted as $1 = 0.8624 euros. Officials say that signing the pact by the end of the year could allow the agreement to enter into force in 2027.
Observers have described the deal as long-delayed and intended in part to boost two-way trade and reduce reliance on the U.S. amid rising global trade tensions. The statement from von der Leyen followed her bilateral discussions with Prime Minister Modi at the France summit.
Key procedural milestones remain implied by the timeline: a formal signature by year-end and, contingent on subsequent steps referenced by EU officials, a possible entry into force in 2027. The EU s figures on tariff coverage, export forecasts and projected duty savings were reiterated alongside von der Leyen s confirmation of the year-end signing target.
As the parties move toward formalizing the deal, the stated objectives are to broaden market access through tariff reductions and to increase trade flows between the two economies over the coming decade.