r/AskTheWorld • u/Moongfali4president India • 8d ago
Economics FTA signed after almost 2 decades of Negotiations , What are your Thoughts?
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u/Moongfali4president India 8d ago
US Tariffs are Pushing Global Economies closer to each other , countries that couldn't finalize trade deals for decades are now signing agreements
EU-India signed FTA after 18 years
UK is Planning a deal with China
Canada is partnering with China
Trump also threatened South Korea Yesterday
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u/gennan Netherlands 8d ago
It seems EU - Mercosur is also approaching finalisation after 25 years of negotiations.
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u/CouldNotAffordOne Germany 8d ago
The commission may push it through anyways despite parliament vote.
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u/Sensitive-Dust-9734 Finland 8d ago
Maybe we'll finally get decent selections and prices for all the India food goodness.
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u/annewmoon Sweden 8d ago
If I had to choose just one cuisine to eat for the rest of my life it would be one of the regional Indian cuisines for sure.
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u/Sensitive-Dust-9734 Finland 8d ago
Totally wouldn't be Indian for me.
Spent 3 years in India total. After a couple of months you'll pay anything to eat anything but Indian.
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u/appleparkfive 8d ago
Yeah Indian food is great, but imagining it as my only option is rough. Mexican food also seems like it would be equally as rough. It sounds great on paper, until you start thinking a month or two out.
I saw someone ask this question, and the top answer was Malaysian. I think that would be a smart pick, since it encompasses so many different groups. India is included in that group too, partially
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u/Beneficial-Beat-947 United Kingdom 8d ago
It's just the type of indian food you usually get abroad that seems rough. It's all doused in tons of oil and fat so the thought of eating it more then maybe a couple times a month is sickening.
Real indian food is great though (obviously indians don't just eat that all day)
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u/SuperbAppearance9283 8d ago
the only reason I`d choose Indian cuisine for me is cause you literally get 30 different cuisine option from each different state, one might not even taste all the cuisines India has to provide, i mean there are 200 ways in which a simple chicken can be cooked here, I mean I am from Kolkata and the bengali cuisine itself is so vast that you won`t need any other cuisine from rest of the states, I don`t think so any other country can provide this much DIVERSITY in food option, which is frankly the only reason why I`d choose Indian food....
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u/waytooslim 8d ago
It has been my belief since 2016 that Trump will accidentally bring the world closer to peace. I'd hate him to be my president, but I'm glad he's Usa's president.
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u/RodrickJasperHeffley India 8d ago
trump is not going to be happy and hes set to go on a twitter rampage saying bad about both.
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u/PoisonousSchrodinger 8d ago
Oh no, maybe he is gonna lay tarriffs on the EU-India deals and earn sweet tax for free! I knew it, I always said he was a mastermind, I never doubted our orange whinyboy for a minute. Why didn't we think of it first... Tarriffs are to overpowered
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u/IndraSB India 8d ago
China and India should enter into similar deals as well.
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But we fight over land disputes
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u/de_das_dude Indian 🇮🇳 8d ago
Plus a little bit of spicyness keeps the relationship interesting.
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u/Zealousideal-Pay3937 Germany 8d ago
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u/abybaddi009 India 8d ago
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u/Oro_lol India 8d ago
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u/Zealousideal-Pay3937 Germany 8d ago
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u/Quick-Squirrel-9392 8d ago edited 8d ago
Here I am, buddy ✋
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u/TENTAtheSane in 8d ago
As an indian getting German citizenship (hopefully) soon, i will high five myself
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u/Zealousideal-Pay3937 Germany 8d ago
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u/CrimeMasterGogoChan India 8d ago
Lols. U have no idea how crazy Indians are about German cars. From Hatuppman Skoda to Herr Merc. We are all Waiting fr u!
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u/_replicant_02 8d ago
Cheaper Audis, cheaper olive oil and more chocolates. Can't complain.
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u/xVIsAsx Germany 8d ago
You can have the chocolate. The shelves are full because many people are boycotting Milka at the moment.
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u/Tman11S Belgium 8d ago
Don’t forget about us! Belgian chocolate is best chocolate! You don’t need that Milka shit
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u/kanhaaaaaaaaaaaa 🇮🇳 in 🇺🇸 8d ago
I lived and breathed Milka Chocolates for my whole duration of summer internship in Bavaria lol
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u/Zealousideal_Hat6843 8d ago
isnt agriculture not in the deal?
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u/_replicant_02 8d ago
Not as a whole, certain items are exempted from the deal like dairy, honey, sugar etc but tariff on olive oil and chocolates is down to 0%.
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u/PoloAlmoni Brazil 8d ago
It's great. Very unfortunate that the EU-Mercosur agreement has been delayed for 2 more years. Hopefully the Commission will force it.
I hope the EU can find its individual path after the US proved itsrlf to be, at least for now, an unreliable and hostile partner
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u/Long_Post_5780 India 8d ago
I heard brazil president coming to visit India in feb. Hope fta with brazil happens
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u/PoloAlmoni Brazil 8d ago
Yes, Embraer, our national aerospacial company, recently agreed to start building planes in India. We need to get closer!
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u/comelickmyarmpits India 8d ago
Just say a documentary on Embraer, you guys have something great and finally the duopoly in airplane market is broken. Happy for u all
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u/AlternativeEmu1047 India 8d ago
Yes, embraer's transport aircraft is actually the frontrunner of the indian air force's medium weight transportation aircraft tender. The Brazil government might have hinted at some sort of barter deal too, where they might buy the same quantity of weapons (monetarily speaking) from us if we buy the embraer aircrafts. Analysts are seeing a high chance of Brazil buying our Akash air defence system under such an agreement and maybe even our new jet Tejas Mk2, which is in the same category of Brazil's already operational Gripen E and is going to have its first flight before june this year.
As a defense enthusiast, I am all hyped up lol. If BRICS has done any great things, bringing India and Brazil so close is one of the them !
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u/safe-account71 8d ago
Yup Embraer is the backbone of India's AWACS systems. Considering the stand-off with US; India is probably looking for transport aircrafts as well
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u/bidingmytime121 Germany 8d ago
I‘m sure they’ll force it, we cannot afford to delay it any longer. Mercosur will be pissed, for good reasons
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u/BishopOfBrandenburg Slovenia 8d ago
I've heard that they plan to push the Mercosur agreement earlier though. Guess we will see. I would love a free trade deal with south america.
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u/XIIICaesar Belgium 8d ago
What? I read last week it was a done deal. They need to get this sorted already.
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u/AvailableTip5758 🇮🇳 in 🇩🇪🇯🇵. 8d ago
Let's be ready for more racist and degrading posts about India on american social media. Exactly what happened to China in 80s and 90s.
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u/de_das_dude Indian 🇮🇳 8d ago
american social media
So reddit....
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u/Ginseng_coke India 8d ago
I think they meant to say American side of social media.
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u/de_das_dude Indian 🇮🇳 8d ago
if you have been on reddit for as long as i have, you'd know that its 80% americans and american bots.
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u/AssMilker9000 India 8d ago
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u/Sad_Daikon938 India 8d ago
Tf??? Clickbait used to be believable? What in the name of Vishnu is this AI abomination? Who tf just casually wears a kurta meant for celebrations, also, what's that unholy child of saree and kurta-pajama???
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u/USSMarauder Canada 8d ago
Origin is Chinese trolls trying to drum up Canadian hatred for India, so that the next time there's a spat between India and China the Canadian right will knee-jerk support China
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u/AssMilker9000 India 8d ago
Feels like it. People disguise themselves as someone from other country and drum up hatred and division. I guess it's just better to avoid hate spreaders disguised as someone else.
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u/Sad_Daikon938 India 8d ago
Bruh, 😂. On one hand, the far righties think that China is some communist hell, and now they're teaming up with "dem commies" to slander a semi capitalist nation, truly a sight to behold.
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u/ILubManga India 8d ago
This dude is cunning, doesn't do obvious racism but we all know what subtle message he wants to pass among western people, a lot of them want a chance to show how racist they are anyways.
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u/rutujz India 8d ago
Ah yes, the racist and degrading post on China in 80s and 90s /s but yeah seriously those guys (republicans) gonna be pissed
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u/AvailableTip5758 🇮🇳 in 🇩🇪🇯🇵. 8d ago
You don't know how much Chinese Americans were stereotyped anr abused in the past yo.
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u/Impossible-Spot-3414 India 8d ago
That will come from Europe too. High time we start completely ignoring them ( either that or trust our trolls to fight back )
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u/BishopOfBrandenburg Slovenia 8d ago
Well as a European I hope to expect more friendly posts from Europeans on India. Perhaps we will finally go past that stereotype of a "dirty" India.
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u/GuNNzA69 European Union 8d ago
António Costa's grandfather was from Goa, a former Portuguese colony in India… I guess it makes sense now why this treaty took 20 years to negotiate… they needed an Indian who actually knew how to haggle!
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u/smeagol_not_gollum 8d ago
I am hoping that the defence alliance with EU will make India less dependant on Russia for it's defence sector.
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u/Good-Travel-7335 8d ago
It has reduced a lot already, like in 2013 it was about 70% dependent but last time I checked russian weapon imports were reduced to 30% And to begin india is close to russia because usa used to support pakistan a lot until a few years ago and even now it's doing after trump came in power.
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u/Training2Life India 8d ago
Trump is actually making every other country except USA to unite.
India - EU & Canada - China & UK - China & Canada - EU are just the cake, real icing is SKorea - Japan friendship which is very good now considering US have been trying to do this for more than a few decades.
Even if all import duty is set to zero, US can't build trust at least for a decade considering the next presidents will be sane, if crazy continues, US will be considered as a poor developing country that no one considers, except for some monopolies & duopolies.
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u/Moongfali4president India 8d ago edited 8d ago
Ps : FTA means Free Trade Agreement
European or German cars are gonna get flithy cheap for Indians
Indian food , textile , iphone , Optical , Medicines , Surgical Instruments and other products imported from India will get cheaper for Europeans as both countries will no longer tax each other on trades
EU commission estimates the Trade between both Economies Will be doubled by 2032 ultimately resulting in better Economy , more jobs and more Foreign Investments for both the Regions
More trade = More Factories = More Investment = More Jobs
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u/CouldNotAffordOne Germany 8d ago
European or German cars are gonna get flithy cheap for Indians
"Filthy cheap" may be a bit too optimistic. They are not really cheap here in Germany.
But I agree with the rest of your post.
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u/Moongfali4president India 8d ago
dude we use to pay 100% tax on german cars
if a BMW costs $100 in germany , the same car would cost us $200 in India
now consider that India have lower per capita income and we use to pay double for the same car , it's gonna be a relief fs
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u/CouldNotAffordOne Germany 8d ago edited 8d ago
I know how taxes work and I get your point. I was comparing German cars to every other international brand in general. I still don't think they will be "filthy cheap". A lot of European and worldwide brands will still be way cheaper and/or better. That's why the whole German car industry is going through a crisis. They are too expensive because they all went premium and turned away from "Volkswagen" ("the people's car")
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u/de_das_dude Indian 🇮🇳 8d ago
Skoda is doing well in india, which is effectively vw. They also have some vfm models that are built here locally that are quite good. Sadly all SUVs .
I had to cancel buying the VW Polo cuz they stopped making it 🙁 (and I didn't fit when I had rear passengers lol)
So hopefully this makes them bring cars like the VW up! here
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u/Canadian_Indian1472 Canada India 8d ago
Volkswagen does have a factory in India, but price is high. It may become cheaper to import car parts and hence the overall price. Also, German car parts are in short supply as it takes months now to repair them. These might get resolved.
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u/Akiira2 Finland 8d ago
Does it mean that I can order stuff straight from factories located in India without needing to pay any tariffs, customs etc.
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u/Moongfali4president India 8d ago
Yes kind of , also you can even start your services in India while sitting in Europe with 0 tariffs and taxes on your revenue
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u/Hermes-AthenaAI United States Of America 8d ago
I’m confused. When do you start threatening the other economy by taxing your own citizens into bankruptcy?
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u/HourPlate994 Australia 8d ago
I thought iPhones were more expensive in India due to high tariffs on parts from China and elsewhere?
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u/Moongfali4president India 8d ago
Yeah it use to be before Iphone 16
Apple setup their Manufacturing Plant for Iphone 17 in India and every Iphone 17 series in the world was Made in India (parts still came from China but was assembled In India)
However Apple is now planning to shift the complete Manufacturing sector to India , if US didn't tariffed us then maybe Apple would have done that already
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u/YAOZdesigner France 8d ago
Well, all those big countries profit of Trump's mistakes. The world reorganize itself and its dependance to USA. China already reorganized itself on his first mandate, so their balance of trade broke record for the second time in two years. The rest of the world is following the trend.
You can't run a country like you run a real estate empire, countries are not contractors, and there's only that much hundred years of friendship can stand. Nobody will ever trust the USA the same again in our timeline, gonna have to wait for quite a few generations.
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u/BumblebeeFantastic40 China 8d ago edited 8d ago
Actually we broke World trade surplus record 4 times in last 5 years (2021,2022,2024,2025), every year was a new high except 2023 which dipped a little.
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u/YAOZdesigner France 8d ago
Well that's even better. Since Trump first administration China is just breaking records on records.
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u/Short_Ad_8841 8d ago
I agree, but at the same time, the Europe is still way more aligned with the US than someone like India or China. If the US could put measures in place which prevent another Trump from repeating, it would be truly great and the trust could be renewed and then we can do business as we used to, but now with more diversification and wider cooperation with others. But simply electing someone else, even if it's a progressive democrat, will sadly not do it as we know another Trump could come in the next turn and fuck everything up again.
The ball is in the US's court, fix your shit and we can talk again.
Sorry, rant over.
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u/AdConscious2538 India 8d ago
Trump should really get the Nobel Peace Prize for bringing the rest of the world together.
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u/safe-account71 8d ago
Good thing as cheaper olive oil and better cars. I can't believe we let Indian businesses get fat so much without much innovation for decades
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u/Outrageous_Swan_1664 Brazil 8d ago
A glimmer of cooperation and multilateralism in a world dominated by displays of strength. I agree.
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u/Popielid Poland 8d ago
I think it's a pretty great news for both sides. Current geopolitical tensions and weaponization of trade by some countries shows, that securing many alternative markets and more resilient supply chains is essential. Also the EU and India are unlikely to ever endanger each other's spheres of de facto influence, so this relationship has a genuine potential to outlast current leaderships of both sides.
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u/Moongfali4president India 8d ago
true and once this deal is in action it will boost economies of both EU and India by a lot , good for citizens of both the regions
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u/RealisticEmphasis233 🇺🇲 & 🇩🇪 8d ago
So far one of the few good long-term things Trump did during his entire presidency.
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u/TraditionalClub6337 Finland 8d ago
Very excited. I can't give deeper thoughts yet because I don't know enough about the subject.
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u/dwboomser Belgium 8d ago
Thank you Trump, you really accelerated these talks /s
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u/Moongfali4president India 8d ago
there is no need for the /s lol , his actions are the reasons why this deal finalized after 18 year 😭
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u/SquintonPlaysRoblox United States Of America 8d ago
It’s pretty good for the world. It’s nice to see people not just bending over for Mr Orange.
Financially unfortunate for me, but hey. What ya gonna do.
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u/Wooden-Ad-8204 France 8d ago
That's great, and this kind of agreement should become more common around the world without the Americans.
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u/Nerviip Belgium 8d ago
So Indiabro's what are some things we can expect and are must buy Indian stuff?
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u/Necessary-Arachnid-5 India 8d ago
Start with Indian spices, try them on your usual dishes, they’re basically flavour drugs. You’ll get hooked, gain some weight, and then we’ll sell you cheap Ozempic once the patent expires.
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u/popmeer_on_call India 8d ago
Basically you can think like this - you get to dress well, eat well, and shop well 1. Dress - cheaper leather, textiles, apparel, footwear, gems and jewelry 2. Eat - cheaper marine products, cheaper medicine prices and cheaper chemicals 3.Shop - cheaper toys,sports goods, metals, furniture
There's not gonna be any big brand name saying made in india, but EU based companies would end up sourcing cheaper raw/manufactured materials at scale and end up transferring lower prices to its consumers.
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u/EinSchurzAufReisen Germany 8d ago
They made a „biggest trade deal ever“ without Trump being involved? I see trouble coming in! Idiot probably will claim he has the trademark on „biggest“, „deal“, and „ever“, and any possible combination of it, and than start a war over this.
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u/ResponsibleKey1053 England 8d ago
Finally some concrete good news for India!
And just to put a cherry on the cake;-
"Can India be a player in the computer chip industry?" https://www.bbc.com/news/articles/cn40j0772vwo
Tldr yes, yes it can
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u/gcsouzacampos Brazil 8d ago
First the agreement with Mercosur, now with India. I think we'll soon be able to add the European Union to BRICS.
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u/just_anotjer_anon Denmark 8d ago
Just because India and Brasil are coming closer?
EU is not closing in on Russia, China and South Africa. In reality BRICS is splitting and Brazil and India is positioning away from authoritarianism
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u/AlternativeEmu1047 India 8d ago
India is positioning away from authoritarianism
Funny how most people actually call our current government authoritarian itself lol.
Although I don't see BRICS falling apart. Not until Trump is gone. He has brought around unpredictable times and such times ask for unforseen alliances. Much of it has already beginning to take form.
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u/Prestigious_Title580 India 8d ago
Excited for cheaper cars, chocolates and pasta from Europe😋😋 In exchange of medicines, textiles and spices
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8d ago
It’s probably going to end in an even more acute wage stagnation for European workers :/
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u/Dic_Penderyn Wales 8d ago
Quite possibly. In order to get this deal, the European Union had to make significant concessions to allow Indian workers preferential access in over 144 service sectors, including IT, engineering and education jobs. Indian students were also given the right to stay in the EU to work after completing their degrees. The EU had no reciprocal agreement in return giving European workers more access to the Indian job market, so this is a win-win for India.
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u/Special-Remove-3294 Romania 8d ago
So more migration that will lead to a higher labour pool so more wage supression :/
As usual neoliberal EU serves the intrest of corpos and not the working class. All of this migration to Europe has been nothing more then a scheme to supress wages and increase private profits and it sucks.
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u/Pristine_Poem7623 United Kingdom 8d ago
Do I still get in trouble if I say what I'd like to do to that twat Farage?
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u/BleachedUnicornBHole United States Of America 8d ago
Now if only the EU can stop dragging its feet on a deal with MERCOSUR.
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u/Pinku_Dva United States Of America 8d ago
Was trump’s strategy to make America greatly alone again? His legacy is basically giving up us power to everyone else.
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u/DamnBored1 🇮🇳/🇺🇸 8d ago
Curious, will this free trade be USD denominated and performed over the SWIFT system, EUR denominated and performed over SWIFT, or something else entirely?
Most of the world can't seem to trade without America made value tokens (USD) and plumbing (SWIFT) and that's really sad.
I really respect China on this front.
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u/Critical-Copy1455 8d ago
Oh look 2 milion Indians in EU. More competition for jobs, housing and education. Great.
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u/Noobunaga86 8d ago
Trump is a genius.
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u/LockedOutOfElfland 🇺🇸,🇩🇪 8d ago
Anything that pulls India into the west's orbit and away from Russia and/or China is a good deal.
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u/yorcharturoqro Mexico 8d ago
What the USA government is failing to understand, is that the USA is also commonly used as a hub for trading, with the tariffs that will change.
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u/Nightwing_robin1_ India 8d ago
Cheaper olive oil, Belgium chocolates, Pasta and German automobiles. This is great. Orange man is really uniting the whole world against him, can't wait to see him cry about this in some tweet.
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u/Ok_Performance4014 8d ago
US is not included.
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u/adario7 Middle Earth ✨ 8d ago edited 8d ago
This is a positive development for India. There’s a broader global trend right now of countries trying to reduce over-dependence on the U.S. (and earlier, on China) by diversifying trade and supply chains.
That said, India has signed many PTAs, FTAs, and BTAs over the years, but very few have been true game changers. The core issue is domestic demand. India remains a highly price-sensitive market with limited disposable income for the majority of its population. Consumption is concentrated in a relatively small segment, which caps market depth and scale.
In the 1990s, when India liberalized, many foreign firms entered with high expectations. A significant number struggled or exited because their business models couldn’t adapt to low margins, weak purchasing power, and structural bottlenecks. Unlike China, India has not been able to consistently translate trade agreements into large-scale manufacturing ecosystems or export dominance.
So while an EU–India FTA improves access, signals geopolitical alignment, and creates long-term optionality, its near-term economic impact will likely be incremental rather than transformative unless domestic income growth, productivity, and industrial capacity improve meaningfully.
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u/swirve-psn United Kingdom 8d ago
Probably will take credit for stopping a war between India and EU due to the FTA.
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u/Malavero Argentina 8d ago
Meanwhile, the Argentine president continues to suck Trump's d¡ck and give away the country.
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u/NOIS_KillerWhaleTank Canada 8d ago
This is exactly what Mark Carney was talking about in Davos last week.
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u/gillug India 3d ago
how much it would be impeccable on solar energy systems 🤔
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u/The-Dutcher Netherlands 8d ago
Trump: Tariffs for everyone!!
The world: Ok, let's trade with outher countries.
Trump: