In recent years, relations between the 27-member European Union (EU) and the six-member Gulf Cooperation Council (GCC) have moved beyond the traditional energy and trade ties toward a more strategic partnership.

The old European notion of the Gulf as just a ‘petrol station’ fuelling its factories and economies has all but vanished and is rapidly giving way to a more nuanced appreciation of the region as a dynamic hub of investment, innovation, and global influence.”

As the EU seeks reliable energy partners and the GCC economies push to diversify beyond hydrocarbons, their collaboration has taken on a multidimensional character that will inevitably affect South Asia, a region that sits at the crossroads of both geopolitical and economic currents connecting these two blocs.

South Asia—especially India, Pakistan, Bangladesh, and Sri Lanka—maintains strong energy, and trade ties with the GCC while seeking to expand economic and political relations with the EU.

Closer EU–GCC cooperation may reshape trade routes,  offering new opportunities in logistics and supply chains.  India’s involvement in the India–Middle East–Europe Economic Corridor is one notable example of this supply  project which was launched  at the G20 summit in New Delhi in 2023.  Its aim is to bolster transportation and communication links between Europe and Asia through rail and shipping networks .

GCC–EU investment flows could open avenues for joint ventures that include South Asian partners in areas like manufacturing, green energy and fintech.

Expanding Cooperation Across Sectors

South Asia’s strategic environment could change as the EU and GCC align on security cooperation in the Indian Ocean, counterterrorism, and maritime safety. India, in particular, may find new  opportunities for trilateral engagement, while Pakistan and Bangladesh might leverage GCC-EU partnerships for economic and trade benefits.

With the US's attention and commitment to both the EU and the Gulf on the decline , GCC countries have sought to expand their role in the region and beyond, and have looked for new partners, including China, Russia , India, and the EU.

The 63-point comprehensive joint statement issued after the 29th EU-GCC Ministerial Meeting, held in Kuwait on October 6, highlights the two blocs’ commitment to expanding cooperation across multiple sectors. It stressed the “particular importance of this partnership” amid growing threats to peace, security, and stability at both regional and global levels, as well as the challenges facing the world economy.

The statement also referred to key regional and international issues, including Ukraine, Iran, Yemen, Syria, and Lebanon — matters that are closely watched by South Asian countries as well.

  The six-GCC countries include the Kingdom of Bahrain, the State of Kuwait, the Sultanate of Oman, the State of Qatar, the Kingdom of Saudi Arabia and the United Arab Emirates.

As the EU diversifies its energy sources and invests in Gulf renewables, South Asia’s own energy strategy could be impacted, especially if Gulf energy exports increasingly prioritize European  demand or if Gulf investment in South Asia’s green energy grows.

The EU has an opportunity to move beyond energy imports by investing in manufacturing, green technology, logistics, and digital infrastructure across the Gulf and South Asia.

South Asia — particularly India, Bangladesh, and Pakistan — offers vast labor markets and rapidly expanding consumer bases in the energy sector.

At the same time, GCC states are working to diversify their economies away from hydrocarbons, and closer cooperation with South Asia’s industrial strength and European technology could help drive that transition.

Enhanced Security Collaboration

The Indian Ocean and the Arabian Sea remain critical arteries for global trade and energy transport. The EU, GCC, and regional partners could strengthen cooperation by conducting joint naval exercises focused on anti-piracy operations, maritime domain awareness, and freedom of navigation.

Greater collaboration is also needed in intelligence-sharing to combat terrorism, extremism, and hybrid threats, alongside joint efforts to strengthen cybersecurity frameworks and resilience.

A Big Leap

The relations between the two blocs took a strong leap in 2022, when the EU adopted a document  on a strategic partnership with the Gulf, proposing a comprehensive and stronger partnership between the EU and the GCC and its Member States.

 In June 2022 the EU appointed for the first time ever a  Special Representative for the Gulf, a former Italian foreign minister, Luigi Di Maio, to further develop a stronger, comprehensive and more strategic EU partnership with the countries in the Gulf region.

The first ever summit between the leaders of EU and GCC took place in Brussels in October 2024 , under the theme “Strategic partnership for peace and prosperity”.

However, despite growing cooperation, the EU and GCC remain divided on several major international issues. Gulf states have sought to strengthen ties with both Russia and China as part of their broader diversification strategies, while the EU has focused on containing the Russian narrative on its war in Ukraine , and curbing China’s expanding global influence.

The GCC’s deepening economic partnership with China — now its largest trading partner — combined with Beijing’s growing strategic presence and influence, risks diminishing the EU’s traditional economic and political standing in the Gulf.

These divergent geopolitical outlooks inevitably shape the scope and direction of EU–GCC cooperation. Although both sides share ambitions for deeper economic integration and a joint push toward energy transition, their contrasting approaches to major powers add strategic complexity ,  influencing not only their bilateral relationship but also their interactions with other regions.

In this context, South Asia has emerged as a key arena where the ripple effects of EU–GCC cooperation — and competition — are most visible. The region’s proximity to the Gulf, dependence on its energy supplies, growing trade with Europe, and strategic links with both China and the United States position it at the crossroads of shifting global alignments.

FTAs

An EU-India  Free-Trade Agreement (FTA)  may be signed by the end of the year, EU-GCC FTA  negotiations were stopped in 2008  after 20 years of talk. GCC accuses the EU of including non-trade issues like human rights in trade agreements.

Both blocs are now discussing how to resume the free trade talks.

Individual vs Collective Agenda

A major obstacle to strengthening EU–GCC relations at the bloc-to-bloc level is the tendency of individual EU  and GCC member states to pursue their own foreign policies. France and Germany — and, before Brexit, the United Kingdom — have each sought to build exclusive partnerships with specific Gulf states.

Experts point to a persistent “mismatch” between these bilateral initiatives and the broader EU–GCC cooperation framework. National governments often prioritize their own strategic and economic interests, even when they diverge from collective EU positions.

For instance, the EU and the United Arab Emirates launched negotiations for a bilateral free trade agreement in May, a move seen by some as undermining the bloc’s unified approach to relations with the GCC.

The EU’s increasing diplomatic engagement in Gulf and Middle Eastern issues like Palestine alongside the GCC’s growing foreign policy assertiveness is likely to shape South Asia’s evolving strategic alignments. India, with its expanding presence in the Gulf, could find new opportunities for trilateral cooperation with European and Gulf partners. Meanwhile, Pakistan and Bangladesh may seek to capitalize on their longstanding ties with GCC states to attract investment connected to EU–GCC development initiatives.

New Interregional Architecture

If EU–GCC cooperation deepens without meaningful South Asian involvement, the region risks being sidelined in emerging trade and energy networks. To stay relevant, South Asian governments will need to adapt their foreign policy and regulatory frameworks to align more closely with the EU–GCC agenda on green energy, sustainability, and digital governance, etc.

The growing strategic convergence between the EU and GCC is giving rise to a new interregional architecture that could redefine connectivity across Europe, the Gulf, and Asia. For South Asia, the implications are both profound and complex. The region now stands at a crossroads: it can proactively engage with this evolving partnership — seeking a role in trade, energy, and security initiatives — or risk being pushed to the margins of the emerging Eurasian landscape.

(The author is an Indian journalist who is a long time resident in Brussels and has been covering European and EU affairs for the past 40 years. Views expressed are personal . He can be reached at nawab_khan@hotmail.com X: @NawabKhan10)