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India-EU free trade pact set to lower prices of luxury cars, wines and medicines

The India-EU free trade pact is set to cut import duties on luxury cars, wines and medicines, while opening European markets for Indian exports.

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India European Deal

After nearly two decades of negotiations, India and the European Union have sealed a Free Trade Agreement that is expected to significantly reduce prices of several European products in India while expanding export opportunities for Indian manufacturers.

Described by European Commission President Ursula von der Leyen as the “mother of all trade deals”, the pact aims to deepen economic cooperation by easing tariffs and improving market access on both sides.

Luxury cars likely to become more affordable

One of the most noticeable impacts of the agreement will be in the premium automobile segment. Imported European cars such as Mercedes, BMW and Audi currently face import duties exceeding 100 per cent in India.

Under the new agreement, vehicles priced above 15,000 euros (around Rs 16 lakh) will see duties reduced to 40 per cent initially, with a further cut to 10 per cent planned over time. This is expected to bring down prices by several lakh rupees.

The concessions will operate under a quota system to safeguard India’s domestic automobile industry. Officials clarified that smaller, mass-market cars — which dominate India’s auto sector — will not be directly exported by European manufacturers, though local manufacturing remains an option.

Imported wines and spirits to get cheaper gradually

European wines from countries such as France, Italy and Spain are also set to become more affordable. India currently levies an import duty of 150 per cent on wines. Under the pact, this will be reduced to 20 per cent, though the change will be phased in over five to ten years to limit disruption to domestic producers.

The agreement is expected to reduce prices of premium spirits such as cognac, high-end gins and vodkas. However, wines priced below 2.5 euros will not receive duty concessions, a move aimed at protecting Indian manufacturers. Indian wines, meanwhile, will gain improved access to European markets.

Cheaper medicines and medical equipment

The trade deal is expected to benefit India’s healthcare sector by lowering the cost of imported medicines, particularly for cancer and other critical illnesses. Advanced medical equipment sourced from Europe is also likely to become cheaper.

At the same time, pharmaceuticals manufactured in India will gain access to all 27 EU member countries, strengthening India’s position as a global supplier of affordable medicines.

Electronics, steel and chemicals to benefit

The agreement removes tariffs on aircraft spare parts, mobile phone components and other high-tech electronic items imported from Europe. This could reduce manufacturing costs for electronic devices in India, potentially benefiting consumers.

Additionally, proposals for zero tariffs on iron, steel and chemical products may lower raw material costs for industries such as construction, with possible downstream benefits for homebuyers and infrastructure projects.

Overall, the India-EU Free Trade Agreement is being seen as a major boost for Indian exports, particularly in sectors such as garments, leather and jewellery, while offering Indian consumers access to more competitively priced European goods.

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Magnitude 7 earthquake strikes Tibet after floods

A magnitude 7 earthquake struck northern Tibet on Thursday, October 22. The tremor came weeks after deadly flash floods and landslides hit the mountainous region near the Nepal-China border. Initial reports did not confirm casualties or damage from the earthquake.

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earthquake-tremors

A powerful earthquake measuring magnitude 7 struck northern Tibet on Thursday, October 22, weeks after deadly flash floods and landslides devastated parts of the mountainous region near the Nepal-China border.

The earthquake struck the Nagqu region of Tibet, according to initial reports from earthquake monitoring agencies. The tremor occurred at around 10:33 pm local time in China, with the epicentre located in a county in northern Tibet.

The earthquake was reported at a depth of around 10 kilometres by China’s Earthquake Networks Center. The United States Geological Survey also reported the magnitude 7 tremor, placing its depth at approximately 18 kilometres.

There were no immediate confirmed reports of casualties or property damage following the earthquake, according to initial information available after the tremor.

Earthquake strikes northern Tibet

The earthquake occurred in the Nagqu region, approximately 400 kilometres from Lhasa, the capital of Tibet.

The tremor was recorded on Thursday evening, with monitoring agencies reporting slightly different estimates of its depth. China’s Earthquake Networks Center placed the epicentre at a depth of 10 kilometres, while the US Geological Survey reported a depth of 18 kilometres.

Further information about the earthquake’s impact was awaited at the time of the initial reports.

Tibet earthquake follows deadly flash floods

The earthquake struck weeks after devastating flash floods and landslides affected the mountainous region along the Nepal-China border in late August.

The earlier disaster followed an ice-and-rock avalanche near the border on August 26, triggering flash floods that swept through downstream areas. Homes, roads, bridges and power infrastructure were among the structures affected, while rescue and recovery operations continued in the aftermath.

The floods caused extensive destruction and left thousands of people dead or missing across the affected region, according to reports published after the disaster.

The latest earthquake is a separate event from the earlier avalanche and flooding disaster. An assessment of its effects was not immediately available.

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Macron rejects Trump’s immigration claims over France riots

French President Emmanuel Macron criticised Donald Trump and other foreign leaders over their comments on France’s recent unrest. Macron rejected claims that the country was being overrun by migrants and Islamists, calling such assertions false.

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French President Emmanuel Macron has criticised US President Donald Trump and other foreign leaders for their remarks about the recent unrest in France, accusing them of using the situation to advance their political agendas.

Speaking to reporters in Doha on Wednesday, October 21, Macron said foreign manipulation of information following the violence and looting had led to comments he described as “unacceptable” and “stupid”.

When asked whether he was referring to Trump, Macron replied, “Among others.”

The remarks came after Trump attributed the unrest in France to immigration and urged European countries to tighten their borders. Macron rejected claims that France had been overrun by migrants and Islamists, describing them as false.

Macron rejects claims linking unrest to immigration

Trump had argued that immigration was responsible for the violence in France, dismissing other explanations related to education and social concerns. He also urged Macron to close France’s borders, warning that the country faced serious consequences if it failed to act.

In a post on his social media platform Truth Social, Trump claimed that immigration had damaged France and called on the country to regain control of its borders.

Macron pushed back against this narrative, saying that some foreign leaders were repeating misleading claims about the situation. He also highlighted the circulation of artificial intelligence-generated images that depicted events he said had never taken place in France.

The French president said claims that the country had been invaded by large numbers of migrants and Islamists were “completely false”.

Macron argued that some politicians were using France’s domestic situation to support their own political campaigns, particularly as elections approach in their respective countries.

French minister offers to counter misinformation

French Foreign Minister Jean-Noel Barrot said his office could provide clarification to countries concerned about the situation.

He said the aim was to help prevent the spread or amplification of false information and unsupported claims on social media.

Macron also criticised those speaking negatively about France during the unrest, saying that foreign leaders should not exploit the country’s difficulties for political purposes.

Protests driven by rising living costs

The unrest followed demonstrations over rising living costs, inflation and concerns about public services. The protests initially involved students demanding more teachers and better school conditions before expanding to include trade unions and others concerned about economic pressures.

Violence and looting subsequently affected Paris and other French cities.

The French interior ministry estimated that 550,000 people took part in the nationwide demonstrations, while the CGT trade union put attendance at 800,000. The demands reported in connection with the demonstrations centred on living costs and public services rather than immigration.

The French government has faced pressure to prevent further violence, with additional demonstrations planned in the coming days.

Macron said France had the means to maintain order and indicated that a state of emergency was not necessary at that stage.

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Marco Rubio says India and US share extraordinary alignment on key issues

US Secretary of State Marco Rubio said India and the United States share an extraordinary alignment on core issues, even though disagreements between the two countries may arise.

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US Secretary of State Marco Rubio has described the relationship between India and the United States as one marked by an “extraordinary alignment” on important national interests, while acknowledging that the two countries may disagree on certain matters.

Speaking at a ‘Freedom 250’ reception in Mumbai on Tuesday during his visit to India, Rubio said the partnership between the two countries could play a significant role in shaping the 21st century. He emphasised the importance of cooperation between the two nations on issues that affect their respective national interests.

Rubio highlights shared priorities in the Indo-Pacific

Rubio identified the need for a free and open Indo-Pacific as a key area of common ground between New Delhi and Washington. He said both countries had an interest in ensuring that no nation claimed dominance over international shipping routes.

He acknowledged that disagreements between countries were inevitable but said the alignment between India and the US on core issues remained significant, particularly given the size and influence of both nations.

Rubio also described India as a powerful, influential and advanced country, calling it a strong geopolitical partner for the United States.

India-US relationship could shape the 21st century

Rubio said the partnership between the two countries could help shape the course of the coming decades. He pointed to shared values, including individual dignity, democratic principles and the rule of law, as common ground between the two nations.

He also noted that decisions being taken today on geopolitics, economics, trade and commerce would have consequences for future generations.

The US Secretary of State said he believed the relationship between India and the United States could positively influence what the 21st century looks like.

Trade ties remain an important part of the relationship

Rubio’s remarks come amid ongoing discussions between India and the United States over trade and other bilateral issues.

Earlier on Tuesday, he said the two countries were very close to signing a bilateral trade agreement, with a small number of outstanding points still to be resolved.

Trade relations have faced challenges over tariffs, India’s purchases of Russian oil and US immigration policies. Despite these differences, Rubio’s comments underscored Washington’s emphasis on the broader strategic partnership with New Delhi.

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