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EU Leaders Arrive in India for Republic Day as Historic Trade Deal Nears

Published on January 25, 2026 481 views

European Commission President Ursula von der Leyen and European Council President António Costa arrived in India on Saturday as chief guests for the country's 77th Republic Day celebrations, marking an unprecedented diplomatic milestone as both sides move closer to finalizing what von der Leyen has called the mother of all trade deals. The visit, spanning January 25 to 27, signals a significant strengthening of India-EU relations amid shifting global alliances and growing concerns over China's assertiveness.

The two EU leaders will share the dais with Prime Minister Narendra Modi and President Droupadi Murmu during Sunday's grand parade at Kartavya Path in New Delhi, which will showcase India's military strength, cultural diversity, and federal unity. This year's parade theme celebrates 150 years of Vande Mataram, the national song that played a crucial role in India's independence movement, blending heritage with modern national identity.

The centerpiece of the visit is the 16th India-EU Summit scheduled for January 27, where leaders aim to clinch a long-pending Free Trade Agreement that has been under negotiation since 2007. Von der Leyen expressed optimism about the talks, stating that India and the European Union are on the cusp of concluding an agreement that would represent one of the most significant trade partnerships in history. Key areas under discussion include trade liberalization, security and defense cooperation, clean energy transition, and enhanced people-to-people ties.

However, significant sticking points remain in the negotiations. The European Union's proposed carbon border adjustment mechanism, commonly known as the carbon tax, has been a source of friction. Other contentious issues include market access for European automobiles and steel, rules of origin requirements, and barriers affecting the services sector where India seeks greater mobility for its skilled professionals.

Analysts view the invitation of EU leaders as chief guests as a strategic diplomatic message from New Delhi. With the United States reassessing its global role under the Trump administration and China becoming increasingly assertive in the Indo-Pacific region, Europe appears to be viewing India as a crucial strategic partner and middle ground. The strengthening India-EU partnership reflects both sides' desire to diversify their international relationships and reduce dependence on traditional allies.

President Droupadi Murmu will address the nation on Sunday evening in her fourth Republic Day speech since assuming office in 2022, expected to reflect on India's democratic journey, constitutional values, and national priorities. The Delhi government has announced that the Vidhan Sabha will be open to the public on both January 25 and 26 from 5 pm to 8 pm, allowing citizens to participate in the celebrations of India's constitutional democracy.

Sources: Business Today, Republic World, WION News, DD News, Zee News

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