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'Lots of Positive Expectations': UN Chief Guterres Lauds India-EU Trade Deal

UN Secretary-General Antonio Guterres highlights India-EU trade deal as key to global multipolarity.

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United Nations Secretary-General Antonio Guterres has cited the recent free trade agreement between India and the European Union as a significant example of the global shift towards multipolarity. Guterres emphasised that global challenges cannot be addressed by a single dominant power, and highlighted the importance of diverse international partnerships. The India-EU agreement, signed on 27 January 2026, establishes a market of two billion people and includes new pacts on security, defence, and mobility of Indian professionals to Europe.

According to The Hindu, Guterres stated that the world’s stability and peace depend on supporting multipolarity, rather than relying on one or two global powers. He referenced the India-EU trade agreement alongside other recent international deals, noting that such networks in trade and technology are essential for strong multilateral institutions and for upholding the values of the United Nations Charter.

Guterres explained that the share of global economic activity by traditional developed economies is declining, while emerging economies are expanding in influence and confidence as coverage revealed. He argued that global problems will not be solved by one or two powers dividing the world into rival spheres, and called for deliberate acceleration of multipolarity through inclusive partnerships in trade, technology, and international cooperation.

In his remarks, Guterres said,

"We need to support a dense set of relations among different countries... It is this network in trade, this network in technology, this network in international cooperation among a progressively larger group of countries and entities in a true multipolar world that, in my opinion, can create the conditions for strong multilateral institutions and for a world in which the values that are the values of the Charter of United Nations can prevail."

The India-EU agreement was described as a "mother of all deals," with Prime Minister Narendra Modi, European Commission President Ursula von der Leyen, and European Council President Antonio Costa unveiling a five-year agenda to leverage trade and defence for a rules-based world order as analysis showed. The agreement also includes provisions for security and defence collaboration, and enhanced mobility for Indian talent in Europe.

In the first official response from Washington, US Trade Representative Jamieson Greer commented that India stands to benefit significantly from the deal, particularly through increased market access in Europe and potential immigration rights for Indian workers as reporting indicated. Greer noted that the EU is seeking new trade partners as the US pursues more protectionist policies, and suggested that India’s low-cost labour and expanded access could lead to substantial economic gains.

US officials have also expressed concerns about the broader implications of the agreement, especially in the context of ongoing trade tensions between the US, EU, and India. The US has maintained tariffs on Indian goods since August 2025, and exporters have raised concerns about potential long-term market losses in the US at the end of the report. Apparel exporters in India have sought government support, citing the risk of permanent customer displacement and increased competition from other Asian countries.

Guterres also addressed the need for reform in global institutions, particularly the UN Security Council, to better reflect the realities of a multipolar world as further details emerged. He reiterated that the Security Council remains central to international peace and security, and called for reforms to enhance its effectiveness and legitimacy.

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Note: This article is produced using AI-assisted tools and is based on publicly available information. It has been reviewed by The Quint's editorial team before publishing.

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