India and Sweden on Sunday upgraded their ties to a strategic partnership to advance cooperation in areas ranging from defense to technology as Prime Minister Narendra Modi and his Swedish counterpart Ulf Kristersson joined European Commission President Ursula von der Leyden to discuss ways to deepen cooperation to ensure stability in an unpredictable global environment.
Von der Leyen joined the two leaders at a European industry roundtable in Sweden, the third stop on Modi’s five-nation tour. Discussions also focused on building on the India-EU Free Trade Agreement, which is expected to be signed by the end of the year, to support trade and investment amid disruptions caused by US trade policies.
Modi said at the business meeting that India-Sweden relations depend on democratic values, rule of law and people-centred development, and the two sides will elevate their ties to a strategic partnership that advances key pillars such as defence, emerging technologies, green transition and people-to-people relations.
“Political, economic and strategic rapprochement between India and Europe is crucial for peace and stability across the world,” Modi said. “In light of today’s tense global situation, close cooperation between democracies like India and Sweden is particularly important. India has always emphasized dialogue and diplomacy to resolve various tensions and problems.”
Modi also noted that the India-EU FTA will open new opportunities for industries, investors and innovators, while the India-EU Security and Defense Partnership and Mobility Agreement have added depth to their strategy and partnership.
Christersson noted that India and Sweden have also launched a joint action plan to achieve common goals and expanded their cooperation to include new areas such as innovation, emerging technologies, artificial intelligence, space and geospatial technology. He said the two sides also agreed to launch the Joint Innovation Partnership 2.0 and strengthen their political dialogue on security and defence, including through their national security agency dialogue mechanism.
“We have a shared ambition to double our trade and investments within five years. At the current speed, I believe this could become a reality sooner,” Kristersson said, adding that the India-EU FTA will create about 23,000 new jobs in Sweden. “In this unpredictable and sometimes dangerous world, the European Union and India are partners that promote stability and security,” he said.
Without directly referring to the geoeconomic turmoil caused by US trade and tariff policies, von der Leyden pointed out how the India-EU FTA — described as the “mother of all deals” — would lead to a common market of more than two billion people, accounting for a quarter of global GDP, and lead to more than 90% tariff cuts.
