EU–India trade: Long-run opportunity for Euro area – Danske Bank
Ni FXStreet Insights Team
Petsa ng Pag-publish: 11 Feb 2026 | Petsa ng Pag-edit: 11 Feb 2026
Sikat na Artikulo
Danske Bank analysts highlight the newly finalised EU–India trade agreement, which will remove tariffs on over 90% of traded goods within seven years. India currently represents just 1.5% of Euro area exports but is projected to grow around 6.5% annually to 2030.
Danske Bank analysts highlight the newly finalised EU–India trade agreement, which will remove tariffs on over 90% of traded goods within seven years. India currently represents just 1.5% of Euro area exports but is projected to grow around 6.5% annually to 2030. The deal notably cuts car tariffs from 110% to as low as 10% and eliminates duties on car parts.
Tariff cuts open structural export potential
"The EU and India have finalised a trade agreement 20 years in the making. The deal will eliminate tariffs on over 90% of goods traded between the regions within seven years."
"While short-term economic changes are unlikely due to limited current exports, the long-term potential is significant."
"India is one of the world’s fastest-growing economies, with a projected growth rate in GDP of around 6.5% y/y until 2030, making it a key emerging G20 economy."
"A major opportunity lies in India’s expanding middle class, and for European automakers."
"Tariffs on cars will gradually drop from 110% to as low as 10%, while tariffs on car parts will be fully eliminated within five to ten years."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)
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