By José Carlos Palma*
The evolving dynamics between China, the European Union (EU), and India have shaped their respective strategic calculations and influenced their bilateral relationships. As China asserts its global influence, the EU and India are increasingly recognizing the need to forge closer ties to balance China’s growing power. This article explores the multifaceted dimensions of EU-India relations and highlights the potential avenues for cooperation, driven by shared concerns regarding China’s influence.
Economic Cooperation
Trade and Investment
One of the key areas of potential collaboration between the EU and India lies in trade and investment. Negotiations for a comprehensive Free Trade Agreement (FTA) have been ongoing for several years, presenting an opportunity to unlock the untapped potential of trade relations. By addressing market access barriers and facilitating investments, both sides can diversify their markets, reducing their dependence on China. Closer economic ties can also foster innovation and technological cooperation, benefiting industries in both regions.
Supply Chains
The disruptions caused by the COVID-19 pandemic have underscored the vulnerabilities of global supply chains heavily reliant on China. The EU and India can seize this moment to explore collaboration in diversifying and strengthening supply chains. By sharing best practices, promoting joint ventures, and investing in sectors such as manufacturing and technology, both regions can enhance resilience and reduce their exposure to China’s dominance in global supply chains.
Connectivity
Connectivity has become a significant focus for both the EU and India. The EU’s Digital Single Market strategy and India’s Digital India and Smart Cities initiatives align with their shared goal of developing robust digital infrastructure. By coordinating their efforts and collaborating in areas such as 5G networks, cybersecurity, and digital trade, the EU and India can create synergies that drive economic growth, innovation, and connectivity between the two regions.
Security and Geopolitical Cooperation
Maritime Security: The Indo-Pacific region has witnessed increased tensions due to China’s assertiveness in territorial disputes and its expanding naval capabilities. Both the EU and India share concerns over maintaining maritime security and freedom of navigation. Collaborative efforts in areas such as maritime domain awareness, joint naval exercises, and counter-piracy operations can contribute to regional stability and help safeguard shared interests.
Multilateralism and International Institutions
China’s growing influence has prompted the EU and India to strengthen multilateral institutions and uphold a rules-based international order. By working together, they can ensure that institutions like the United Nations, World Trade Organization, and World Health Organization reflect the interests of a diverse group of countries. Joint efforts to reform and strengthen these institutions can provide a counterbalance to China’s assertiveness and help preserve a fair and equitable global governance system.
Climate Change and Sustainable Development
Climate change poses a significant global challenge that requires collective action. The EU and India have demonstrated commitments to combating climate change and achieving sustainable development. Collaboration in areas such as renewable energy, clean technologies, climate mitigation and adaptation, and sustainable urban development can not only help address climate concerns but also drive economic growth and job creation in both regions.
Conclusion
The ‘China factor’ has undoubtedly influenced the EU-India relationship, prompting both sides to explore avenues for cooperation and balance China’s growing influence. However, it is crucial to recognize that EU-India relations should not solely revolve around countering China. The potential for collaboration between the EU and India is rooted in shared values, common interests, and a long-term strategic outlook. By seizing opportunities in economic cooperation, security, and geopolitics, and climate change, the EU and India can unlock the full potential of their relationship, contributing to regional and global stability while pursuing their respective interests.
* Expert in international relations, such as foreign policy, international trade, domestic security, international security, developing nations, and domestic security, intelligence, political consultant, and military analyst.