The UK and India have signed a landmark £6bn free trade agreement that promises significant benefits for the automotive industry, particularly franchised dealers and vehicle exporters. Prime Ministers Keir Starmer and Narendra Modi finalised the long-anticipated deal at Chequers, following three years of negotiation. The agreement includes major tariff reductions that will make UK cars significantly cheaper to export to the Indian market, with average tariffs on UK exports to India set to drop from 15% to 3%. This is particularly promising for the premium car segment, which is expected to benefit from increased demand in India, as well as UK supply chain companies supporting the sector. The UK government estimates the deal will boost the economy by £4.8bn annually and create over 2,200 jobs across aerospace, advanced manufacturing, and automotive supply chains. The deal also provides Indian manufacturers with improved access to the UK market for electric and hybrid vehicles, supporting wider sustainability goals. NFDA welcomes this development, which will open new international opportunities for UK franchised dealers and manufacturers alike. We will continue to monitor how this agreement progresses through Parliament and keep members informed on the implementation timeline.