EU-India FTA and Semiconductor Partnership: Critical Progress in November 2025

The EU-India Free Trade Agreement negotiations, which resumed with renewed momentum since 2022, reached a critical juncture in November 2025. Both sides concluded intensive talks in New Delhi, with India's Commerce Secretary Rajesh Agrawal engaging European Commission Director-General for Trade Sabine Weyand. With 10 of the 20 FTA chapters finalised and several others agreed in principle, negotiators confirmed their shared objective of concluding the agreement by year-end. Throughout these negotiations, India emphasised the importance of obtaining clarity regarding emerging EU regulatory measures, particularly the Carbon Border Adjustment Mechanism and proposed steel regulations. The significance of November was further amplified by the Europe India Centre for Business and Industry (EICBI) hosting the EU-India Leaders Conference at the European Parliament on November 5, 2025, a strategic platform that brought together senior policymakers, diplomats, and business leaders to advance the bilateral partnership during this critical phase of FTA finalisation.

Parliamentary Engagement Reinforces Trade Momentum

The momentum of FTA negotiations was reinforced by the European Parliament session held on November 5, 2025, organised by the Europe India Centre for Business and Industry (EICBI) under the leadership of Mr. Sujit S. Nair. Titled the EU-India Leaders Conference, this sixth major European Parliament session by EICBI brought together business leaders, policymakers, and trade professionals to discuss partnership opportunities. The conference featured distinguished leadership, with welcome addresses by Ms Angelika Niebler, Member of European Parliament from Germany and Chair of the Delegation for Relations with India, alongside MEP Vladimir Prebilic from Slovenia, the Standing Rapporteur on India. The session served as a significant platform for people-to-people engagement, bringing together a diverse delegation of senior policymakers, diplomats, and business leaders from semiconductor and trade sectors.

The timing was strategically significant, coinciding with the conclusion of intensive FTA negotiations in New Delhi (November 3-7, 2025) and advancing semiconductor manufacturing milestones. Mr Prebilic emphasised that EU-India partnership is fundamental to both regions' strategic interests in an era of geopolitical uncertainty. Rather than viewing FTA completion merely as a trade objective, Prebilic identified it as essential for creating jobs, fostering economic resilience, and reducing both regions' dependence on external suppliers. He highlighted four key cooperation areas, digital technology advancement, clean energy projects, maritime security, and scientific research, noting that such collaboration would benefit the broader Indo-Pacific region.

The conference featured two major panel discussions exploring the multifaceted EU-India relationship and collaboration opportunities in the semiconductor industry. These dialogues covered broad economic and cultural dimensions of the partnership while underscoring the critical role of the semiconductor sector in shaping the technological future of both regions. As India and the EU intensify FTA negotiations, engagements hosted by organisations like EICBI hold significant value, as they have the potential to translate high-level commitments into concrete business relationships and investment flows.

India's Historic Semiconductor Manufacturing Transition

India is achieving an important historic transition in the semiconductor manufacturing sector, marking its entry into commercial semiconductor production. The India Semiconductor Mission, implementing a ₹76,000 crore investment programme, has enabled 10 semiconductor projects across six states with cumulative investment commitments exceeding ₹1.60 lakh crore ($18.23 billion). These projects span fabrication, assembly, testing, and packaging capabilities across the entire semiconductor value chain.

Alongside these domestic initiatives, the EU-India Trade and Technology Council, established in April 2022, has institutionalised semiconductor cooperation between the regions. At the second TTC ministerial meeting in February 2025, both sides committed to joint research and development in chip design, heterogeneous integration, sustainable semiconductor manufacturing, and talent exchange programmes. This framework encompasses broader technology cooperation in artificial intelligence, 6G, and high-performance computing.

EICBI's Role in Facilitating Semiconductor Cooperation

EICBI has contributed significantly to EU-India semiconductor cooperation through engaging over 90 companies active in the semiconductor, renewable energy, and education sectors. By creating a springboard for Indian enterprises to connect with European counterparts, the organisation facilitated awareness-building on the regulatory frameworks essential for cross-border cooperation. This pre-conference mobilisation ahead of its EU Parliament session directly supported establishing ground-level understanding of sectoral requirements and opportunities.

Strategic Positioning for the Future

As India and the EU intensify FTA negotiations and deepen semiconductor sector collaboration, organisations like EICBI, under Sujit S. Nair's leadership, play an essential role in creating enabling conditions for bilateral progress. This positions the EU-India partnership as a defining relationship for both regions' technological and economic futures. As Mr. Sujit himself articulates, the untapped collaborative potential of India drives EICBI's mission to amplify EU-India partnership across sectors and geographies. As India transitions from semiconductor consumer to global manufacturer, both parties' work toward finalising comprehensive trade arrangements will reshape global supply chains and advance mutual technological and economic objectives. The remainder of 2025 will prove critical for concluding FTA negotiations and operationalising the semiconductor cooperation frameworks that have been established.