On automobiles, Sefcovic said negotiators are “looking for the combination of all of this” — quotas, phased tariff cuts and transition periods — while recognising that the two markets are very different. Europe’s car market is larger, but India’s is fast-growing and highly dynamic.
He said the European Union clearly understands India’s priorities. “What was very important for the Indian side was to make sure that your automotive segment will also grow in the future,” Sefcovic noted.
He added that the two sides are largely complementary, with India strong in small and affordable cars, while Europe has an edge in larger and more advanced vehicles.
“We are looking at the way which would help us find solutions, create new supply chains and make an even better business case for European car makers, while opening new possibilities for cooperation,” he said, stressing that such a large deal requires mutual understanding and a balanced outcome for both sides.
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Sefcovic described the proposed pact as a “mega deal” and potentially the biggest trade agreement the EU has ever negotiated by market size, covering nearly two billion consumers. He said both sides are working hard to announce the conclusion of talks on January 27, even as last-minute technical details are finalised.
Beyond autos, discussions on wines and spirits have been positive, though he said full clarity will come only once the deal is concluded. Sensitive areas such as agriculture and dairy have been handled carefully, with key red lines respected to unblock negotiations.
On tariffs overall, Sefcovic said the aim is 97–99% partial or full tariff liberalisation, which could generate savings of around €4 billion a year and help double bilateral trade within five years. He also highlighted the broader strategic value of the FTA in building resilient supply chains, reducing risky dependencies and creating jobs across India and the European Union.
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