CHENNAI/BENGALURU/AMSTERDAM, July 20 - A. Shrinikheathan is breaking from his family's tradition of studying in the United States, opting instead for a master's degree in Germany.

The 22-year-old Chennai engineering graduate is learning German and taking a language proficiency test as he applies for courses, drawn by the low cost of studying in Germany and its traditionally strong industry links.

His decision reflects young Indians' growing interest in European universities as the India-EU trade deal's mobility provisions and tighter U.S. immigration rules prompt many to rethink the American Dream, a dozen students and education consultants said.

"The world is becoming more multi-polar. Earlier, the U.S. was all that everyone was talking about," Shrinikheathan said, adding he was happy to have study choices beyond the "wildly more expensive" United States and Canada.

If sustained, the shift could reshape global student flows, with Europe emerging as a viable alternative to North America for Indian students as the EU seeks young talent to offset labour shortages from an ageing population.

European tuition fees are typically 50% to 80% less than the U.S., according to education consultant KC Overseas, with lower living costs also reducing the bill.

"The European Union has become a leading destination for Indian students," an EU official said in a statement to Reuters. "Indian students bring entrepreneurial spirit, cultural richness, and research excellence."

He added: "(Indian students enrich) European campuses while deepening EU-India ties in innovation, trade, and diplomacy ... this trend will continue to grow, benefiting Europe's talent pool and India's globally competitive workforce."

India's overseas student outflow fell to about 626,000 in 2025 from more than 908,000 in 2023, government data showed, with students wary of tougher visa rules and rising costs in the U.S. and other popular study destinations such as Australia and the UK. Last week, Washington moved to tighten the duration of visas for foreign students as part of a wide-ranging ...