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India–EU FTA: India to Slash Car Import Duties, Signalling Major Auto Market Opening

the first five years
  • European carmakers hold less than 4% share of India’s auto market


  • Long-Term Policy Implications

    The proposed tariff reductions signal India’s willingness to recalibrate its industrial and trade strategy in favour of deeper global integration. While domestic industry protection remains a priority, the deal reflects a shift towards managed liberalisation , competitiveness and global value-chain participation. If finalised, the India–EU FTA could become a landmark agreement shaping India’s trade trajectory for decades.

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