GS Paper II · Global Relations
Trade Agreements Current Affairs for UPSC (GS Paper II)
From the syllabus: Bilateral, regional and global groupings and agreements involving India and/or affecting India's interests; effect of policies and politics of developed and developing countries on India's interests; Indian diaspora; important international institutions
Why it matters: Tariff negotiations and market access challenges help evaluators check your understanding of global protectionism trends and export competitiveness.
In the news
October 2026
09 Oct 2026
India Navigates Global Trade Headwinds and Tariff RisksIndia's critical trade surplus with the U.S. is under threat due to potential high tariffs and the disruptive impact of Artificial Intelligence on service exports. This surplus currently helps India offset its structural trade deficit...
08 Oct 2026
India's Trade Vulnerabilities Amid Rising Tariff ThreatsIndia's critical trade surplus with the United States faces significant challenges from potential heavy tariffs and the disruptive impact of Artificial Intelligence on service exports. While this surplus has historically offset India's...
08 Oct 2026
EU-China Trade Friction and Economic DiplomacyThe European Union has dispatched an envoy to Beijing in response to growing economic anxiety over massive Chinese industrial subsidies and rising export volumes. European policymakers and economists view these heavily subsidized...
06 Oct 2026
India-US Trade Deal Negotiations Hit a PlateauThe Finance Ministry has stated that negotiations for a comprehensive India-US trade deal have plateaued, indicating that further mutual concessions will be extremely difficult to achieve. Officials noted that the United States is...
05 Oct 2026
US Tariffs and Forced Labour Investigations Strain Trade TiesUnion Finance Minister Nirmala Sitharaman stated that the proposed India-US trade deal has reached a plateau where further mutual concessions are difficult. She criticized the US for weaponising tariffs to address trade imbalances. This...
05 Oct 2026
India Rebuts U.S. Inquiries on Labour Standards and Industrial CapacityIndia's Commerce Ministry firmly defended domestic trade practices following the United States Trade Representative's imposition of tariffs on specific imports under forced labour allegations and ongoing probes into structural excess...
04 Oct 2026
Commerce Ministry Rejects US Claims on Forced Labour and Excess CapacityUnion Commerce Minister Piyush Goyal defended Indian trade policies against United States investigations into alleged forced labour and structural excess capacity. The US Trade Representative had previously imposed a 10 percent tariff...
03 Oct 2026
China Initiates Anti-Dumping Investigation Into European Chemical ImportsAhead of crucial bilateral trade talks, China has launched an anti-dumping probe targeting chemical imports from the European Union. Beijing has rejected EU allegations that Chinese competitiveness relies heavily on state subsidies,...
03 Oct 2026
India defends trade practices against US forced labour inquiryUnion Commerce Minister Piyush Goyal has defended India's labor policies in the United States, following a 10 percent tariff imposition by the US Trade Representative under 'forced labour' clauses. The US is also investigating India for...
02 Oct 2026
Multilateral Trading System Vital for Sustainable Export Growth: DEAA report by the Department of Economic Affairs (DEA) has warned that regional trade pacts and bilateral arrangements that bypass multilateral frameworks could distort trade flows and hamper long-term global growth. The report emphasized...
01 Oct 2026
Multilateralism Must Remain Core to Trade Strategy: Finance Ministry ReportA report by the Department of Economic Affairs highlighted that trade pacts bypassing multilateral frameworks could undermine long-term global growth and export competitiveness. It emphasized that while India continues to pursue...
September 2026
30 Sep 2026
UAE Signals Additional 25 Billion Dollar Investment in IndiaThe United Arab Emirates has indicated plans to invest an additional 25 billion dollars in India, focusing on critical infrastructure including ports, energy, and space sectors. This comes as both nations target a doubling of their...
28 Sep 2026
Strategic Realignment in United States-China Diplomatic and Trade RelationsBilateral meetings between the leaders of the United States and China concluded with steps toward stabilizing commercial interactions, including tariff adjustments on agricultural commodities and ongoing dialogues regarding...
28 Sep 2026
India-New Zealand Trade Negotiations Emphasize Targeted Economic CooperationBilateral trade discussions between India and New Zealand highlight a shift toward focused, modular trade agreements that target non-sensitive sectors such as services, forestry products, and education. Such specialized frameworks allow...
28 Sep 2026
Strategic Significance of the India-New Zealand Free Trade DialogueTrade experts have highlighted the emerging framework of the India-New Zealand Free Trade Agreement (FTA) as a model for targeted economic cooperation. Unlike broad multi-sector trade pacts, focused bilateral agreements allow India to...
27 Sep 2026
Assessing the India-New Zealand FTAThe ongoing trade negotiations between India and New Zealand demonstrate how smaller, targeted trade pacts can serve as practical stepping stones toward full-scale Free Trade Agreements (FTAs). Instead of aiming for a massive,...
27 Sep 2026
US and China Agree to Establish Super Intelligence DialogueDuring high-level bilateral discussions, the United States and China agreed to establish a Super Intelligence (SI) Dialogue to manage advanced technological risks. Both nations agreed to adopt the term Super Intelligence rather than...
26 Sep 2026
India and European Union Set to Sign Landmark FTA in DecemberIndia and the European Union are scheduled to sign their Free Trade Agreement (FTA) on December 16, 2026. This signing will align with Prime Minister Modi's scheduled visits to Europe and North America to seal key trade and strategic...
24 Sep 2026
India-EU Free Trade Agreement set for December signingIndia and the European Union are scheduled to sign their Free Trade Agreement on December 16, 2026. The signing is aligned with Prime Minister Narendra Modi's upcoming diplomatic visits to Canada, the United States, and Belgium. This...
20 Sep 2026
Nepal Calls for Reset in Bilateral Ties and Trade Treaty RevisionNepalese Finance Minister Swarnim Wagle stated that the era of equating Nepalese nationalism with anti-Indian rhetoric is over, advocating for a pragmatic reset in Delhi-Kathmandu relations. Speaking in New Delhi, he urged the revision...
14 Sep 2026
India and Canada Resume Formal Bilateral Trade NegotiationsIndia and Canada have commenced the latest round of talks on a proposed comprehensive economic partnership agreement. The negotiations aim to scale up bilateral trade in goods and services to 50 billion dollars by 2030.
14 Sep 2026
Bangladesh Proposes Bilateral Reset in Relations with IndiaBangladesh State Minister for Foreign Affairs Humaiun Kobir stated that Dhaka seeks to reset its relationship with India through direct bilateral engagement. He emphasized that Bangladesh needs to move beyond what he described as an...
12 Sep 2026
18th BRICS Summit Focuses on Multilateralism and Local CurrenciesThe 18th BRICS Summit concluded with the New Delhi Declaration, calling for stronger multilateralism and greater representation for developing countries. Discussions centered on trade in local currencies, support for micro, small, and...
12 Sep 2026
BRICS Summit Calls for Local Currency Trade and Linked Payment SystemsAt the 18th BRICS Business Forum, member nations discussed connecting national payment systems and expanding cross-border trade in local currencies. Leaders highlighted the need to mitigate vulnerabilities associated with...
11 Sep 2026
India and Canada Aim for Comprehensive Economic Partnership AgreementBilateral diplomatic discussions indicate that India and Canada are working toward finalizing a Comprehensive Economic Partnership Agreement (CEPA). The proposed agreement aims to expand market access, reduce tariffs across key export...
Show 39 older stories
September 2026
06 Sep 2026
Rethinking India's Bilateral Investment Treaty FrameworkEconomists and policy experts have called for a comprehensive review of India's Model Bilateral Investment Treaty (BIT) to balance investor protection with domestic regulatory autonomy. Key discussions center around simplifying...
04 Sep 2026
Push for Export Competitiveness and Diversification in Indian TextilesThe Union Ministry of Commerce highlighted shifting global tariff dynamics, urging Indian textile manufacturers to capitalize on supply chain realignments against competitors such as Bangladesh and Vietnam. The government stressed that...
01 Sep 2026
India and Chile Aim to Finalize Expanded Trade AgreementIndian commerce officials met with their Chilean counterparts in Santiago to reaffirm their commitment to concluding an expanded trade agreement within the year. The proposed deal aims to enhance bilateral trade in critical minerals,...
August 2026
30 Aug 2026
India and Canada Fast-Track Trade and Bilateral Investment Treaty TalksIndia and Canada reaffirmed their commitment to conclude a comprehensive trade pact by the end of 2026 during the inaugural Finance Ministers' Economic and Financial Dialogue in Toronto. Both sides agreed to initiate formal negotiations...
27 Aug 2026
Four Indian firms face US sanctions under Operation Economic OutcastThe United States Treasury Department has imposed secondary sanctions on four India-based companies as part of Operation Economic Outcast. The operation targeting international networks aims to squeeze Iranian state revenue by blocking...
25 Aug 2026
India Negotiating Free Trade Agreements with Multiple Global BlocsUnion Commerce Minister announced that India is actively negotiating Free Trade Agreements (FTAs) with eight to nine major economic blocs. Once finalized, these agreements are expected to cover nearly 75 percent of global trade,...
23 Aug 2026
United States Accuses India of Trade Violations and TranshipmentThe United States has raised fresh trade allegations against India, accusing Indian exporters of engaging in unfair trade practices and facilitating a transhipment network. American officials claim foreign goods are being rerouted...
20 Aug 2026
India-Singapore Ministerial Roundtable (ISMR) Highlights Strategic TiesFinance Minister Nirmala Sitharaman led a ministerial delegation to participate in the 4th India-Singapore Ministerial Roundtable (ISMR) in Singapore. The leaders discussed ways to enhance cooperation across key pillars including...
19 Aug 2026
BRICS Blocs Oppose EU Carbon Border Tax and Seek Climate FinanceThe BRICS grouping has voiced strong opposition to unilateral environmental trade measures, notably the European Union's Carbon Border Adjustment Mechanism (CBAM). Member states emphasized that such measures penalize developing...
July 2026
29 Jul 2026
US imposes 10 percent tariffs on 55 percent of Indian exportsThe United States has announced a 10 percent 'forced labour' tariff on 55 percent of Indian exports, following an investigation into labor practices. The Indian Commerce Ministry noted that while significant, these tariffs are lower...
28 Jul 2026
Unresolved Key Issues in India-UK Trade NegotiationsNegotiations for the India-United Kingdom Comprehensive Economic Trade Agreement (CETA) remain incomplete due to outstanding differences over crucial issues. Key friction points include intellectual property rights, carbon border...
27 Jul 2026
Pending Hurdles in the India-UK Free Trade AgreementDespite progress on the India-UK Comprehensive Economic Trade Agreement (CETA), several complex issues remain unresolved. Future rounds of negotiations will need to address investment protection mechanisms, patent rules under...
24 Jul 2026
US Unveils New Tariffs on Sixty Global PartnersThe United States has introduced new import tariffs targeting 60 trading partners, including major economies such as China, India, and the European Union. The levies range from 10 percent to 12.5 percent and are a major component of the...
23 Jul 2026
US Generic Drug Tariff Threats Loom Over Indian Pharma SectorFormer US President Donald Trump has proposed a 100 percent tariff on generic drugs after a two-year zero-tariff window, raising it further to 200 percent subsequently. Indian pharmaceutical exporters, who supply a significant portion...
23 Jul 2026
India-UK Comprehensive Economic and Trade Agreement Nears RealizationNegotiators from India and the United Kingdom are working to finalize the Comprehensive Economic and Trade Agreement (CETA) to boost bilateral trade and investments. The trade pact is expected to open up market access, lower custom...
22 Jul 2026
India and United Kingdom Push for Win-Win CETA Trade DealNegotiations and assessments of the India-UK Comprehensive Economic and Trade Agreement (CETA) highlight it as a transformative pact for both nations. The treaty aims to reshape bilateral trade and investment, create high-quality jobs,...
20 Jul 2026
Commerce Ministry Formulates Plan to Boost FTA UtilisationThe Ministry of Commerce and Industry is actively working on a Free Trade Agreement (FTA) utilisation plan to help domestic businesses maximise benefits. Union Minister Piyush Goyal held consultations with export promotion councils to...
20 Jul 2026
India-Australia Uranium Deal Highlights Domestic Fuel DeficitIndia's ongoing nuclear energy expansion relies heavily on fuel imports due to limited high-grade domestic uranium reserves. The bilateral uranium supply agreement with Australia is critical to powering India's civil nuclear reactors...
19 Jul 2026
Afghanistan Pitches for Deeper Trade Ties with IndiaAfghanistan has requested India to ease trade barriers and simplify business access to boost bilateral commerce. Following a recent visit by the Afghan Agriculture Minister Mawlawi Ataullah Omari to New Delhi, Kabul is seeking deeper...
18 Jul 2026
Strengthening Ties with Australia and New ZealandIn an era of global geopolitical turbulence, India is actively strengthening its partnerships with Australia and New Zealand. Shared concerns over Indo-Pacific security, maritime trade, and economic resilience are driving this...
17 Jul 2026
BIMSTEC gears up for its 30th anniversaryThe Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) is receiving renewed focus as it approaches its 30th anniversary. Established in 1997, the seven-member regional bloc bridges South and...
17 Jul 2026
Labour's Andy Burnham poised to lead the UKAndy Burnham has been confirmed as the new leader of the UK's Labour Party and is set to be invited by King Charles III to form the next government. This transition follows the formal resignation of outgoing Prime Minister Keir Starmer....
17 Jul 2026
India-UK Free Trade Agreement takes effectThe much-anticipated India-UK Free Trade Agreement (FTA) has officially kicked in, promising significant changes for consumers and industry. The government is currently working on an 'FTA utilization plan' to ensure that Indian...
15 Jul 2026
India-U.K. Trade Deal Comes into ForceThe India-U.K. Comprehensive Economic and Trade Agreement is set to come into force on July 15. Under this landmark agreement, the United Kingdom will remove or reduce tariffs on 98.8% of its tariff lines, representing about 99.5% of...
15 Jul 2026
India Bans Imports of Forced Labor GoodsIndia has banned the import of goods produced using forced labor, preempting a pending investigation and tariff decision by the United States. This regulatory move highlights India's commitment to ethical supply chains and international...
13 Jul 2026
India and Australia finalize administrative arrangements for uranium supplyIndia and Australia have concluded the administrative arrangements necessary to operationalize their civil nuclear cooperation agreement. This crucial step paves the way for direct commercial exports of Australian uranium to India's...
12 Jul 2026
India and New Zealand Sign Historic Free Trade AgreementIndia and New Zealand have signed a historic Free Trade Agreement (FTA) that will be implemented later this year. The negotiations, which began in March 2025 and concluded in December 2025, represent one of the fastest trade pacts ever...
11 Jul 2026
India-New Zealand Elevate Ties to Strategic PartnershipPrime Minister Narendra Modi and his New Zealand counterpart Christopher Luxon elevated bilateral ties to a strategic partnership during PM Modi's visit to Auckland. The nations set a target to double their annual bilateral trade in...
11 Jul 2026
India Allocates Tariff Quotas for United Kingdom Vehicle ImportsThe Directorate General of Foreign Trade (DGFT) has notified specific tariffs and import quotas for petrol and diesel passenger vehicles imported from the United Kingdom under a trade deal. A total of 20,000 completely built units...
11 Jul 2026
India Rejects United States Tariff Stance on Forced Labour IssuesIndia has criticized the United States' Section 301 investigations on forced labour and excess industrial capacity as an inconsistent approach to international trade tariffs. The US Trade Representative (USTR) initiated these...
10 Jul 2026
India establishes tariff quotas for British vehicles under proposed trade dealThe Directorate General of Foreign Trade (DGFT) has notified that a total of 20,000 completely built units (CBUs) of petrol and diesel passenger vehicles will be permitted for import from the United Kingdom at concessional tariff rates...
09 Jul 2026
Seafood Exports Thrive Amid US Forced Labor Tariff ProbeIndia's seafood exports have achieved an all-time high despite major challenges arising from US tariff investigations. Under Section 301 of its Trade Act, the US Trade Representative launched investigations into concerns regarding...
09 Jul 2026
New Zealand Exports to India Set to be 57% Tariff-FreeAhead of the Indian Prime Minister's visit to Auckland, New Zealand's PM Luxon announced that 57% of their exports to India will now be tariff-free. This follows a comprehensive trade agreement signed in April 2026, aimed at boosting...
09 Jul 2026
Indonesia to Procure India's Indigenous Astra Air-to-Air MissileIndonesia has finalized a deal to purchase India's indigenous Astra beyond-visual-range (BVR) air-to-air missiles. Developed by India's Defence Research and Development Organisation (DRDO), Astra's export marking is a significant boost...
07 Jul 2026
Prime Minister Embarks on Strategic Three-Nation Tour Starting with IndonesiaPrime Minister Narendra Modi has commenced a three-nation visit, starting with Indonesia to enhance bilateral strategic relations with President Prabowo Subianto. The visit will subsequently cover Australia and New Zealand, emphasizing...
07 Jul 2026
Finance Ministry Notifies Rules of Origin Under India-U.K. Trade AgreementThe Union Finance Ministry has officially notified the rules for determining the origin of goods under the India-U.K. trade pact, known as the Comprehensive Economic Trade Agreement (CETA). These rules will establish the legal framework...
06 Jul 2026
India and New Zealand Sign Free Trade AgreementIndia and New Zealand have signed a historic free trade agreement (FTA) which is set to be implemented later this year. First announced in March 2025 and concluded in December 2025, this agreement stands as one of the fastest FTAs...
04 Jul 2026
India-Peru FTA Negotiations Stall Over Tariff and Services DisagreementsUnion Commerce Minister Piyush Goyal announced that a Free Trade Agreement (FTA) between India and Peru is unlikely to be concluded in the near term. Critical points of divergence include domestic agricultural protections, tariff cuts...
04 Jul 2026
Trade Diplomacy: The Dynamic Progress of India-Peru and India-Canada FTAsUnion Commerce Minister Piyush Goyal stated that a Free Trade Agreement (FTA) with Peru is not expected in the immediate future, whereas bilateral trade negotiations with Canada are progressing with a team of Indian officials visiting...
Practise Trade Agreements
10 of our latest questions on this topic (out of 96).
Question 1 of 10
Why did the European Union send an envoy to Beijing recently, as discussed in international trade developments?
Mains practice
As India strives to sustain its robust industrial and agricultural growth, it faces domestic regulatory bottlenecks in food safety and public infrastructure alongside rising external trade challenges. Analyze how a cohesive regulatory framework can bridge the gap between India's domestic development goals and its international trade aspirations.
15 marks
Global governance architectures and domestic policy frameworks are facing significant pressures to balance economic expansion with sustainability and institutional equity. Analyze how multilateral trade, sustainable finance mechanisms, and global security reforms must adapt to support developing economies like India.
15 marks
India's path to becoming a developed economy (Viksit Bharat) requires a fine balance between international trade integration and domestic structural reforms that safeguard vulnerable sectors and promote social inclusivity. Analyze this statement in light of recent trade agreements, initiatives for the empowerment of women farmers, and the strengthening of regulatory frameworks.
15 marks
Previous years' questions
Past exam questions sorted by topic are coming here. Until then, the full papers are in our previous papers library.