How Tension With Russia & China Is Pushing Europe To Do More Business With India


(MENAFN- Trend News Agency)

The European Union (EU) is now looking to do more business with India by way of greater investments in Europe as tension with Russia over the Ukraine war and geopolitical concerns with China pose massive challenges to the bloc and the world at large, Trend reports citing The Print.

With the EU imposing stringent actions on Russia, Brussels is now putting its focus back on India by trying to expedite the long pending free trade agreement with New Delhi as well as a separate investment pact, negotiations for which will be launched soon.

In addition, EU's growing tensions with China is forcing European companies to look for other destinations to open their shops and it believes India can play a critical role in that.

“We don't want to solely depend on China for manufacturing products. So, there is strong support from the government to bring some production back to the EU, and there are plans (that are being designed). But we know that there will be costs. We cannot bring everything into Europe and that's where India comes into the picture,” French ambassador Emmanuel Lenain said at a business interaction.“We know that in the next two decades at least, we won't experience that kind of uncertainty and discomfort that we have with China.”

In April, EU chief Ursula von der Leyen had arrived in the country for a two-day visit to bolster strategic partnership with India. Trade in goods and services between the two sides stood at Euro 96 billion in 2020. Though the EU is India's third largest trading partner and second largest export destination, von der Leyen had asserted that there remained a 'lot of untapped potential' for the two partners.

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Trend News Agency

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