BRUSSELS – In a moment of reshuffling of the cards on the international scene, the European Union intends to relaunch its relationship with India. In a bilateral summit on Saturday, the parties are expected to announce an expected return to the negotiating table in view of a trade agreement. Meanwhile, and the coincidence is not trivial, Brussels has reiterated that it intends to suspend its efforts in view of a rapid ratification of the recent investment agreement with China.
Opening towards New Delhi
“There is a clear impetus to strengthen our strategic relations in the fields of trade, digital, climate change and multilateral order – European Commission President Ursula von der Leyen wrote on Twitter, referring to India -. I am encouraged by the prospect of intensifying our trade and investment relations, taking advantage of enormous potential for the benefit of our businesses and our citizens ”.
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Cooling with Beijing
The opening towards New Delhi was again paid a half closing towards Beijing yesterday. Referring to the ratification of the recent investment agreement by the European Parliament, Vice-President of the European Commission Valdis Dombrovskis explained: “We have for now (…) suspended the Commission’s efforts to raise political awareness”. The politician recalled the recent sanctions and counter-sanctions between China and Europe (see Il Sole / 24 Ore of 24 March). “The atmosphere is not favorable to the ratification of the agreement,” admitted the former Latvian prime minister, speaking to the AFP agency.
The position, already expressed previously, was reiterated at a time when the Union is preparing to relaunch its relationship with India. The parties began negotiating a trade agreement as early as 2007. After 16 rounds of inconclusive negotiations, they froze the negotiation in 2013. There was a distance on the amount of tariffs as well as on investments.
Negotiations on three chapters with India
In recent days, Ms von der Leyen spoke on the phone with Prime Minister Narendra Modi, hinting that the relaunch of negotiations is now within reach. Today a draft of the declaration to be published on Saturday should be done precisely by the Twenty-seven at the diplomatic level. It reads: “We have agreed to resume negotiations for a balanced, ambitious, comprehensive and mutually beneficial trade agreement.” According to the information gathered here in Brussels, the negotiations should cover three chapters: trade, investment and the protection of geographical indications. “Indians are not easy partners. They can be very protectionist. Saturday’s announcement will only be the starting point of a long process, ”observes a community official.