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Looking again at EU

Topic: GS2 – International Relations
Context
  • European Commission President Ursula von der Leyen visited India with the entire College of Commissioners to strengthen EU-India strategic ties amid global uncertainties triggered by Donald Trump’s return to the White House.

 Analysis of the news:

Ursula von der Leyen’s Visit to India

Significance of Ursula von der Leyen’s Visit to India

  • The visit of European Commission President Ursula von der Leyen to India, alongside the entire College of Commissioners, signals a pivotal moment for the EU-India strategic partnership.
  • This high-profile delegation underscores Europe’s intention to elevate its relationship with India at a time when global political dynamics are shifting rapidly.
  • Notably, von der Leyen chose India as her first international destination in her second term, reflecting the growing importance of India in Europe’s foreign policy.
  • For India, Europe emerges as a critical ally amid uncertainties caused by Donald Trump’s return to the White House, which has disrupted the global order.
  Key Facts About European Union
  • Founded: In 1951 after the Second World War (1939–45) by six countries (Belgium, France, Germany, Italy, Luxembourg, and the Netherlands).
  • Current Member States: 27 countries (Austria, Belgium, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain and Sweden).
  • The UK joined the EU in 1973 and left (brexit) in 2020.
  • Demography: In EU, Germany has the largest population, France is the largest by area and Smallest Country is Malta.
  • Open Borders: The Schengen Area allows free movement for most EU members, excluding Cyprus and Ireland.
  • Four non-EU countries (Iceland, Norway, Switzerland, and Liechtenstein) are also part of Schengen.
  • Single Market: Goods, services, capital, and people circulate freely within the EU.
  • Climate Goals: Aim to become climate-neutral by 2050, reduce emissions by 55% by 2030.

Context of Trump’s Return and Its Implications

  • Although von der Leyen’s visit was planned before Trump’s re-election, his return to power has added urgency to strengthening EU-India ties.
  • Trump’s unpredictable foreign policies, including his willingness to negotiate with rivals like Russia and China, have unsettled traditional alliances.
  • India, which has managed US policy volatility through its ties with Russia and participation in coalitions like BRICS, now faces uncertainties as Russian President Vladimir Putin shows interest in dealing directly with Trump.
  • These developments heighten the need for India to diversify its strategic partnerships, making Europe a crucial missing link in its foreign policy strategy.

The Changing Global Power Dynamics

  • The triangular relationship among the US, Russia, and China remains fluid, marked by cycles of cooperation and rivalry over the last century.
  • With Trump potentially seeking rapprochement with Russia and China, India cannot afford to rely solely on existing partnerships.
  • This evolving scenario demands that India broaden its strategic engagements.
  • Europe, as the world’s third-largest economy, offers India access to advanced technology, capital, and a vast consumer market.
  • Von der Leyen’s visit thus presents a timely opportunity for India to revitalize its ties with the European Union, which can help balance the shifting great power dynamics.

Historical Trajectory of India-EU Relations

  • Despite proclaiming a strategic partnership in 2004, India-EU relations had stagnated by the early 2010s.
  • Trade negotiations were stalled, and Brussels appeared disengaged. The EU’s focus on deep commercial ties with China further sidelined India.
  • However, by 2016, India recognized the strategic value of Europe in a multipolar world, prompting renewed engagement.
  • This resulted in resumed trade talks, the establishment of a Trade and Technology Council, and the announcement of the India-Middle East-Europe Economic Corridor (IMEC) during the 2023 G20 Summit in Delhi.
  • The EU, too, has become more invested in the Indo-Pacific region, seeking to “de-risk” its economic ties with China.

Challenges Posed by Trump’s Foreign Policy

  • Trump’s foreign policy shift has placed additional strain on transatlantic relations.
  • His decision to end US support for Ukraine, coupled with direct US-Russia talks that excluded European representatives, has left Europe feeling sidelined.
  • Additionally, Trump’s Defence Secretary has urged Europe to take primary responsibility for its security, signaling a potential reduction of US military presence in Europe.
  • This repositioning not only challenges Europe’s security framework but also compels the EU to seek stronger partnerships elsewhere — with India emerging as a logical partner given its strategic location and growing influence.

Ideological Strains in US-Europe Relations

  • Beyond geopolitical concerns, the Trump administration has launched an ideological offensive against European democracies.
  • US Vice President J D Vance’s comments at the Munich Security Conference, blaming internal issues such as immigration and liberal extremism for Europe’s vulnerabilities, have added tension.
  • Furthermore, American support for right-wing parties in Europe, like Germany’s Alternative for Germany (AfD), has complicated transatlantic ties.
  • The growing influence of such parties, coupled with criticism from traditionally pro-American parties like Germany’s CDU, suggests a profound transformation in European politics — one that may push Europe closer to India.

India’s Balancing Act in Trump’s Second Term

  • India appears to have maintained positive relations with the US under Trump, as reflected in Prime Minister Narendra Modi’s recent visit to the White House.
  • However, the true test lies in fulfilling ambitious commitments, such as negotiating a free trade agreement and boosting bilateral trade to $500 billion by 2030.
  • Trump’s emphasis on reciprocal tariffs poses challenges for these goals. Moreover, India’s rising trade deficit with China — nearing $100 billion annually — threatens its economic stability.
  • To counter this, India must accelerate domestic economic reforms and reboot its strategic partnerships, with Europe playing a central role.

The Way Forward

  • Given the volatile global context, von der Leyen’s visit offers India and Europe a critical opportunity to strengthen their underdeveloped partnership.
  • The synergies between the two — from trade and technology to security and connectivity — are real and untapped.
  • With Trump reshaping the global order and Europe recalibrating its strategic outlook, both sides must move beyond past inertia.
  • Deepening EU-India cooperation could not only stabilize their respective foreign policies but also contribute significantly to a balanced, multipolar global order.

 

What is the Need for Strengthening India-EU Relations? 
  • Countering Authoritarianism: As democracies, India and the EU face increasing pressure from authoritarian regimes, particularly China for India and Russia for the EU.
  • Strengthening ties would help both sides form a united front in defending democratic values and opposing autocratic expansionism.
  • Economic Growth: A successful FTA between India and the EU would boost trade and investment. The EU is the largest economic bloc and by 2030, India is projected to be the third-largest economy.
  • They offer each other market access, technological exchange, economic growth and create alternative supply chains to reduce dependency on China.
  • Technological Collaboration: India’s rise in tech innovation and the EU’s R&D capabilities can drive joint initiatives in AI, quantum computing, biotech, and space, countering China’s dominance.
  • Strengthening collaboration through the EU-India Trade and Technology Council (TTC) can align strategies on emerging technologies, boosting cybersecurity, green tech, and clean energy.
  • India’s sunrise sectors can help revive manufacturing in Europe, benefiting both regions.
  • Environmental Action: India and the EU can drive global climate action through joint initiatives on clean energy, carbon reduction, and sustainable development, leveraging India’s renewable potential and the EU’s environmental leadership.
  • India and the EU can jointly invest in green technologies like solar power, electric vehicles, and sustainable agriculture, contributing to global sustainability.
PYQ: Consider the following statements: (2023)

The ‘Stability and Growth Pact’ of the European Union is a treaty that

1.Limits the levels of the budgetary deficit of the countries of the European Union

2.Makes the countries of the European Union to share their infrastructure facilitie

3.Enables the countries of the European Union to share their technologie

How many of the above statements are correct

(a) Only one
(b) Only two
(c) All three
(d) None

Exp: (a)

Practice Question: Discuss the significance of European Commission President Ursula von der Leyen’s visit to India in the context of shifting global power dynamics following Donald Trump’s return to the White House. How can strengthened EU-India relations contribute to India’s strategic interests in this evolving geopolitical landscape? (250 Words /15 marks)

 If you like this Editorial don’t forget to check previous one –Three low-hanging reforms

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