Final answer:
The English East India Company was the first European trading company to establish a factory at Surat in 1608. Other European powers such as the Dutch and French had trading interests in India, but the English were the earliest and ultimately the most successful in establishing their dominance.
Step-by-step explanation:
The first European trading company to establish its factory at Surat was the English East India Company. It arrived in India in 1600 and secured the rights for trade. In 1608, the English successfully established their first factory in Surat, which allowed them to trade for spices and textiles, gaining a significant foothold in the region. Although the Dutch East India Company and the French East India Company were also involved in trading in India, it was the English East India Company that gained an early advantage.
France established a trading post at Surat a bit later, in 1668, and subsequently founded others. Despite the competition from the Dutch and the Portuguese, the English managed to maintain and expand their trading ventures across India, ultimately cementing their control in the subcontinent and creating a lasting impact on Indian history and trade.