EU Proposes Chemical Rules of Origin under EU–India FTA
Reference source : European Commission
On 11 September 2026, the European Commission submitted proposals to the Council of the European Union for the signing and conclusion of the Free Trade Agreement (FTA) between the European Union and India.
The agreement covers trade in goods and services, customs procedures, technical barriers to trade, intellectual property and sustainable development. It is expected to reduce or eliminate tariffs on around 90% of tariff lines.
Rules for Chemical Products
Annex 3 sets out the proposed rules for determining whether products qualify as originating in the EU or India, and are therefore eligible for preferential tariffs. It includes chemicals and related products under Harmonised System Chapters 28–39, such as pharmaceuticals, fertilisers, cosmetics, soaps and plastics.
The requirements vary by product. Origin may depend on where the product was manufactured, whether it underwent a qualifying chemical or biotechnological process, and the proportion or value of materials obtained from outside the EU and India.
Businesses will need to check the rule applicable to their product’s Harmonised System classification, and retain sufficient documentation regarding its materials, value and production process in order to substantiate an origin claim. The full text of Annex 3 can be found here.
Status and Next Steps
The agreement is not yet in force, and the proposed tariff preferences cannot be claimed at this time. First, the Council must authorise its signature. Then, the European Parliament must give its consent, and both the EU and India must complete their respective approval procedures.
Existing customs duties and origin requirements will continue to apply until the agreement enters into force. The FTA will not replace regulatory obligations applying to chemical products, such as requirements under EU REACH or the Classification, Labelling and Packaging Regulation.