India seals deal with US: A look at major trade agreements New Delhi signed over the past year

After months of negotiations over tariffs, India and the US finally sealed a trade deal, announced by US President Donald Trump and Prime Minister Narendra Modi on Monday. The US has cut tariffs on Indian imports from 50% to 18%, while India is expected to reduce tariff and non-tariff barriers to zero. The announcement drew a positive response from industry, while the stock market saw a strong rally, with the Sensex jumping 5,150 points over two sessions and investor wealth rising by ₹24 lakh crore.

However, this is not the first major trade deal India has achieved. Over the past year, New Delhi has signed several free trade agreements (FTAs), spanning regions from the Gulf to Europe, including a landmark deal with the European Union that has been described as the “mother of all deals”. 

This story looks at the FTAs India has concluded in the last year and how they are expected to boost India’s already fast-growing economy despite global headwinds.

India-EU free trade agreement

India on January 27 finalised a long-pending free trade agreement (FTA) with the European Union (EU) after two decades of on and off negotiations. European Commission President Ursula von der Leyen described it as the “mother of all deals” as it covers 28 countries that together account for about 25% of global trade. 

Under the agreement, India will remove import duties on 93% of the goods it imports from the EU, while the EU will eliminate duties on 99% of Indian exports. Experts say the deal will strongly benefit India by giving its exporters full access to the world’s largest trading bloc.

Unlike many earlier FTAs that focus mainly on cutting tariffs, this agreement goes much further. It includes clear commitments on trade in services, making it easier for companies in sectors such as IT, finance, education, professional and business services to operate across borders. The deal also includes rules to improve market access for service providers and provisions to protect and promote cross-border investment between India and the EU, which is expected to support long-term economic growth on both sides.

India-Oman free trade agreement

Another major advance came in December 2025, when India and Oman signed a Comprehensive Economic Partnership Agreement (CEPA). Under this deal, about 99% of Indian exports to Oman will receive duty-free access, while India will liberalise tariffs on a broad range of Omani imports, covering goods and services. The agreement is expected to add momentum to trade and investment between the two countries.

India-New Zealand free trade agreement 

On December 22, 2025, New Delhi concluded negotiations on a free trade agreement with New Zealand, which is slated for signing and implementation soon. The pact promises near-zero tariff access for most goods and expanded trade in services, seen as one of the fastest trade deals India has wrapped up with a developed economy.

India-UK free trade agreement

In July 2025, India finalised a Comprehensive Economic and Trade Agreement with the United Kingdom (UK), ending long negotiations that spanned several years. The pact aims to eliminate tariffs on the majority of Indian exports to the UK and reduce duties on British products entering the Indian market. Officials called it a strategic milestone that will deepen bilateral economic ties. 

Deals in the pipeline 

Beyond these completed deals, India is moving forward on several other fronts. Negotiations continue with countries in Latin America and North America, including Chile, Peru, and Canada, as well as with the Mercosur trade bloc. Talks with other partners are also underway as India seeks broader market access and trade linkages worldwide. 

Commerce officials say these FTAs, combined with ongoing dialogues with major partners, are part of a strategic push to embed India deeper into global value chains, support export-oriented industries and strengthen economic resilience.