Business ties between India and EU have been firmly put on the track and big news on the trade front is expected this year itself, Reuters and other agencies reported on February 28, 2025.
Prime Minister Narendra Modi and European Commission President Ursula von der Leyen announced February 28, 2025, their commitment to finalise a free trade agreement (FTA) within this year. The discussions surrounding the India-EU free trade agreement, which had been stagnant for eight years, were revived in 2021 and now encompass topics such as investment protection and geographical indications.
Source: The Economic Times
The World Bank on February 26, 2025, expressed strong confidence in the Indian economy and appealed to all to come and invest in the country. Speaking at the Advantage Assam 2.0 Business Summit, World Bank country director Auguste Tano Kouame said the lender remains optimistic about India's economic prospects, despite a slight downward trend in growth.
He emphasised that fluctuations of one percentage point in economic growth do not alter the World Bank's positive outlook.
Source: The Economic Times
India is scrutinizing recent import tariffs from the US as it prepares for trade treaty negotiations. Discrepancies in trade data between the two countries are being addressed, amid Trump's tariff abuse claims. Notably, the US reports higher imports from India than India's export figures. Differences in data capturing methods and trade practices may be the cause. India is examining the latest average import tariffs with the US before it commences negotiations with Washington on a proposed treaty. officials said. A bilateral trade agreement is in the works.
Source: The Economic Times
India must strengthen its bilateral trade and investment relations amid the decline of multilateral institutions, according to Finance Minister Nirmala Sitharaman. The government is focusing on strategic partnerships and free trade agreements with several countries, including the UK, US, and the European Union, to boost economic growth. Speaking at BS Manthan, the Finance Minister said these are very interesting yet challenging times and the government is making all efforts to make India move up the ladder and be an engine of global growth.
Source: The Economic Times
India’s economy likely rebounded last quarter, although growth prospects remain uncertain in coming months as US President Donald Trump threatens to upend global trade with tariffs.
Data due February 28, 2025 will likely show gross domestic product grew 6.2 per cent in the three months to December, according to a median estimate of economists surveyed by Bloomberg. While that’s higher than a seven-quarter low of 5.4 per cent in the July-September period, it falls short of the central bank’s projection of 6.8 per cent.
“Weak net exports and slow urban consumption is going to weigh on headline GDP growth,” said Sonal Varma, chief economist for India at Nomura Singapore Ltd., forecasting a 5.8 per cent expansion for the quarter.
Source: Business Standard
The Suez Canal Economic Zone (SCZONE) has completed the first phase of the $120 million Eroglu knitting project, which will establish a fully integrated garment manufacturing facility. From spinning to final garment production, this factory will oversee the entire production process, strengthening Egypt's position in the textile industry.
Spanning 100,000 square metres in the West Qantara Industrial Zone, the factory will create 5,000 jobs and aims to produce 30 million garments annually, as per media reports.
Source: Fibre2fashion
Việt Nam emerges as key hub for int’l textile manufacturers
HCM CITY – Việt Nam’s strategic location, commitment to sustainability, and innovation have made it an attractive destination for international textile producers seeking to diversify global supply chains. This trend was highlighted at industry seminars during the Việt Nam International Trade Fair for Apparel, Textiles and Textile Technologies 2025 (VIATT 2025) in HCM City on February 27, 2025. Experts noted that Việt Nam's textile industry enters 2025 with momentum from key milestones achieved in 2024. The country is expected to surpass Bangladesh as the world’s second-largest garment exporter after China.
Source: Vietnam News
The office of the US trade representative (USTR) is proposing to impose fees and service restrictions on cargo ships operated by or built in China.
This follows its announcement last month that China’s targeting of the maritime, logistics and shipbuilding sectors for dominance is unreasonable and burdens or restricts US commerce and is, therefore, actionable under the Section 301 trade law. Indian trade could be adversely hit if the proposal comes into force.
Source: Fibre2fashion
Tashkent, Uzbekistan — From 24 to 26 February 2025, a working group led by Abduvali Sadykov, Deputy Chairman of the Uztextileprom Association, visited Georgia for meetings and negotiations with several Georgian textile companies. During the visit, preliminary agreements were reached with Georgian textile enterprises Makratelli, Situationist, BOLDI, and Maroma Collection regarding the supply of fabrics and textile materials. Additionally, negotiations with Overdose resulted in an agreement to explore the production of finished textile products based on models presented by the Georgian side.
Source: UZ Daily
LAHORE: Pakistan and Vietnam are exploring joint ventures and enhanced cooperation in key economic sectors, including textiles, manufacturing, information technology, tourism, processed meat, and agriculture. The potential for deeper collaboration was highlighted during a high-level meeting between Vietnam's Ambassador to Pakistan, Pham Anh Tuan, and Lahore Chamber of Commerce and Industry (LCCI) President, Mian Abuzar Shad, at LCCI on February 27, 2025, as per a press statement.
The two-hour-long discussion focused on strengthening bilateral ties, identifying untapped opportunities, and formulating strategies to boost trade and investment.
Source: Tribune
