Trade deals with EU, UK to attract global automakers to India: Goyal

India's trade agreements with the European Union and United Kingdom are positioned to become catalysts for attracting global automotive manufacturers to set up production facilities in the country, according to Commerce and Industry Minister Piyush Goyal. The trade pacts incorporate carefully calibrated tariff concessions on imported vehicles that are designed to strike a balance between market access and domestic manufacturing incentives. These measured import duties will allow international automakers to test market conditions and consumer demand in India without facing prohibitively high tariffs, while simultaneously creating a competitive environment that encourages local assembly and manufacturing operations. The strategy reflects India's broader approach to trade negotiations, wherein tariff flexibility is leveraged as a tool to attract foreign investment in key industrial sectors. By providing a window for imports at negotiated rates, the government aims to signal India's openness to global players while maintaining a framework that rewards those willing to establish local production bases. Goyal's comments underscore New Delhi's confidence that the combined effect of EU and UK trade agreements will generate sufficient confidence among multinational automotive groups to commit to Indian manufacturing hubs, thereby strengthening the nation's position in the global automotive supply chain.