
India and the European Union (EU) have officially signed a landmark Free Trade Agreement, described by leaders as the “Mother of All Deals.” Prime Minister Narendra Modi announced the deal alongside European Council President Antonio Costa and European Commission President Ursula von der Leyen.
The deal has attracted global attention, but U.S. President Donald Trump is expected to be displeased. Analysts say the agreement challenges Trump’s recent efforts to exert pressure on India and Europe through trade. Over the past months, his administration imposed high tariffs on India—up to 50%—while repeatedly threatening European nations over issues including Greenland.
Why Trump May Be Agitated
Trump has sought to isolate India and Europe in trade matters, and the new India-EU deal directly counters that strategy. Experts believe he will view the agreement as a direct challenge, especially as U.S.-India trade negotiations remain stalled and the EU has also delayed its trade pact with the U.S.
The deal highlights India and Europe’s determination to maintain autonomy under international trade rules, signaling a reluctance to bow to U.S. pressure. According to U.S. Treasury Secretary Scott Besant, Europe’s independent trade engagement with India could even be seen as a breach of trust from Washington’s perspective.
“Daddy” Trump Faces New Tensions
Trump has long been nicknamed “Daddy” by NATO officials—a shorthand portraying him as a dominant, controlling figure whose influence allies and rivals are keen to navigate. The India-EU trade deal may test his patience, as it represents a significant collaboration between two nations he had sought to pressure independently.
Experts suggest that the finalization of this long-delayed India-EU trade pact reflects not only strategic economic interests but also a subtle diplomatic message to the U.S.: that India and Europe will act decisively in their own economic and geopolitical interests, even if it conflicts with Washington’s agenda.
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