New Delhi/Washington : The historic free trade agreement (FTA) between India and the European Union (EU) has created a new stir in global politics. While the agreement is considered a major economic achievement for both India and Europe, the United States has openly expressed its displeasure. Washington believes that this deal could harm its strategic interests.
US Treasury Secretary’s Sharp StatementUS Treasury Secretary
Scott Bessent called the India-EU trade agreement “extremely disappointing.” He said that European countries are not supporting US efforts to impose tariffs on India for purchasing Russian oil because of this deal.
Speaking on CNBC’s Squawk on the Street, Bessent said that Europe is making its own decisions and moving towards free trade without Washington’s consent.
Questions Raised on Ukraine War and Energy Policy
Scott Bessent accused European countries of double standards, saying that on the one hand, they talk about playing a leading role in the Ukraine war, while on the other hand, they are buying refined Russian oil through India.
He said that European countries are prioritizing cheap energy, even if it indirectly provides financial support to the conflict in Ukraine.
“Trade Prioritized Over Humanitarian Crisis”
Bessent also alleged that the US imposed a 25 percent tariff on India for purchasing Russian oil, but European countries did not support this move. He said this is a clear indication that Europe has prioritized trade interests over the ongoing war in Ukraine.
Who Signed the India-EU Deal?
This free trade agreement was finalized in New Delhi in the presence of Prime Minister Narendra Modi, European Commission President Ursula von der Leyen, and European Council President Antonio Costa. This agreement is considered the largest India-EU trade deal to date.
Even the US acknowledges India as the ‘winner’
Interestingly, US Trade Representative Jamison Greer has also acknowledged that India has gained significant advantages from this agreement. According to him, India has secured several key benefits related to market access and immigration.
Growing tensions in the global economy
This entire development comes at a time when the world economy is going through a period of instability. Amidst US tariff policies and global trade tensions, the India-EU deal is being seen as a major strategic shift.
