At EU-India talks, focus on AI, trade and security ties: Sources

As European Commission President Ursula von der Leyen begins her India visit on February 27, New Delhi is hoping to expand cooperation with the European Union (EU) in artificial intelligence (AI) and Indo-Pacific security.

Sources from the Ministry of External Affairs (MEA) confirmed that discussions would focus on strengthening AI collaboration at both the bilateral and EU levels.

A high-level delegation from the EU, led by von der Leyen comprises 22 of the 27 European Union Commissioners. This also marks the first-ever visit of the EU College of Commissioners to India and their first collective visit outside Europe since taking office in December 2024.

MEA sources highlighted India’s commitment to advancing AI collaboration. They referenced Prime Minister Narendra Modi’s recent visit to France, where he co-chaired a summit attended by over 90 countries. The MEA underscored the mutual benefits of such cooperation, noting the EU’s establishment of AI norms and legislation.

“This is an area which is discussed under this. So we have the synergies in this. So that is the area where we think we can cooperate more, both at the country level as well as at the EU level,” an official stated.

In defence and security, both sides are keen on enhancing cooperation, particularly in the Indo-Pacific region. The EU has recently articulated its Indo-Pacific strategy, indicating interest in deeper collaborations. Discussions may include formalizing agreements to bolster coordination between naval forces operating in the region.

“EU also has come out with an Indo Pacific strategy recently. So they have shown interest in more collaborations in Indo-Pacific and how it will come out. As of now I will say it is more going at the forces level of cooperation. It’s a very informal coordination as of now when Indian navy is operating in a region and their operation as fighters. But there might be discussions to formalize this sort of agreement,” a source said.

The visit is poised to intensify and diversify India-EU engagement across various sectors, including trade, investments, resilient supply chains, digital technologies, semiconductors, green hydrogen, clean energy, sustainable urbanization, water management, defence, and space.

A significant highlight will be the second Ministerial Meeting of the Trade and Technology Council (TTC), covering three pillars of cooperation: Digital and Strategic Technologies, Clean and Green Technologies, and Trade, Investments, and Resilient Supply Chains.

Addressing questions about the timing of the visit amid current geopolitical tensions, MEA officials cautioned against interpreting the visit as a reaction to recent events. They emphasised the strategic value of the India-EU partnership, highlighting India’s status as the world’s largest democracy and the fifth-largest economy.

“Look at the kind of value that India today brings to the international table. Whether it is technology or talent or skill,” an official said.

The EU stands as India’s largest trading partner in goods, with bilateral trade witnessing a 90 per cent increase over the past decade. For the fiscal year 2023-24, trade in goods touched USD 135 billion, with exports to the EU at USD 76 billion and imports at USD 59 billion. In services, bilateral trade in 2023 was valued at USD 53 billion. Cumulative Foreign Direct Investment (FDI) inflows from the EU to India from April 2000 to September 2024 totalled USD 117.4 billion, representing 16.6 per cent of India’s overall FDI equity inflows.

The MEA also highlighted the potential for European companies to explore opportunities in India, given the country’s scale and demand. “European companies are looking at huge opportunities. They have technology, they have competencies, but they don’t have a scale. Here India comes in, and India gains by getting their technology,” an official noted.

(With inputs from ANI)