Old Continent Rising

(Source: The Indian Express, Editorial Page)

Also Read: The Indian Express Editorial Analysis: 11 June 2025
Also Read: The Hindu Editorial Analysis: 11 June 2025

Topic: GS Paper 2: International Relations; GS Paper 3: Economic Diplomacy

Context

European countries, particularly Germany and France, are reasserting their global presence through strategic trade and diplomatic outreach. The editorial reflects on how India–EU relations could evolve, especially as Europe seeks to diversify beyond China and the U.S., opening new economic and strategic avenues for India.

Background: Europe’s Shifting Global Role:

• Post-Brexit, the European Union has been actively redefining its external engagements.

• The Russia-Ukraine war has catalyzed Europe’s push for strategic autonomy in defense, energy, and trade.

• India has become a preferred partner amid EU efforts to reduce dependency on China.

India–Europe Strategic Convergence:

• India and the EU are working to revive the stalled Free Trade Agreement (FTA), with focus on digital trade, sustainability, and market access.

• Regular bilateral meetings and forums like the India–EU Trade and Technology Council (TTC) have been instrumental.

• India’s democratic credentials and growing market align well with European interests.

Economic Opportunities and Challenges:

• European investment in India is rising, especially in sectors like clean energy, critical technology, and manufacturing.

• Trade imbalances persist, and regulatory differences (e.g., carbon tax norms, data privacy) remain contentious.

• India is seen as a counterweight to China in Europe’s diversification strategy.

Geopolitical Implications:

• Strengthened India–Europe relations provide strategic depth in a multipolar world.

• Cooperation extends to climate change, maritime security, and counter-terrorism.

• Europe’s Indo-Pacific outreach complements India’s Act East and Indo-Pacific strategies.

Way Forward:

• India must seize the diplomatic and economic window offered by Europe’s re-emergence.

• Prioritizing the India–EU FTA and aligning with EU sustainability norms can unlock long-term trade benefits.

• Strategic cooperation in the Indo-Pacific and tech innovation can cement India’s place in Europe’s recalibrated global order.

India–EU Relations Overview:

Parameter	Current Status	Opportunities
Trade	₹88 billion annually; FTA under negotiation	Digital trade, agri-tech, clean energy
Diplomatic Engagement	Strategic Partnership since 2004	Joint action on global governance, multilateral forums
Security	Limited cooperation on cyber and maritime security	Scope for Indo-Pacific coordination
Technology & Investment	Focus on semiconductors, AI, and startups	Technology transfer and joint R&D initiatives

Practice Question: Evaluate the changing nature of India–European Union relations in light of global geopolitical shifts. How can India leverage the emerging opportunities for economic and strategic gains? (GS Paper 2 – 15 Marks – 250 Words)