Subscribe to Newsletter to get latest insights & analysis in your inbox. Download the ETAuto App and get the Realtime updates and Save your favourite articles. European carmakers facing pressure from higher US tariffs and intense price competition in China are set to gain some relief as India and the European Union prepare to sign a trade agreement that sharply lowers import duties on cars. “When we talk about exports from Europe, it is mostly about premium cars. Mercedes-Benz said lower tariffs would benefit carmakers on both sides, while BMW declined to comment.High US import tariffs and slowing growth in China have prompted global automakers to look towards India as a future growth engine.

Source: Economic Times January 27, 2026 10:55 UTC