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EU Takes Major Step on Trade Deal
European Union member states have given approval to a long awaited trade agreement with the Mercosur bloc. This move brings an end to 25 years of negotiations.
EU ambassadors gave their provisional approval on Friday. The agreement will open free trade between the EU and four South American countries. These are Argentina, Brazil, Paraguay, and Uruguay.
The deal is the largest trade agreement the EU has signed in terms of removed tariffs.
Why the Deal Matters
The European Commission completed negotiations on the deal last year. It says the agreement will help the EU find new markets.
Officials also want to reduce the impact of United States tariffs. In addition, the deal aims to cut reliance on China by improving access to critical minerals.
Several major EU countries support the agreement. These include Germany and Spain.
Opposition From Farmers and Some States
However, not all EU members support the deal. France has led opposition to the agreement.
Critics argue that the deal could increase imports of cheap food products. These include beef, poultry, and sugar. They warn this could harm European farmers.
As a result, farmers have staged protests across Europe. On Friday, farmers blocked highways in France and Belgium. Others marched in Poland.
Vote Threshold Reached
Ambassadors from the EU’s 27 member states indicated their positions on Friday. At least 15 countries supported the deal.
These countries represent 65 percent of the EU’s population. This meets the threshold required for approval.
Member states were asked to submit written confirmation of their votes by Friday evening in Brussels.
What Happens Next
The approval clears the way for the European Commission president to sign the agreement with Mercosur partners. This could happen as early as next week.
The European Parliament must also approve the deal before it can take effect.
Once implemented, both sides expect trade to grow. Goods trade between the EU and Mercosur reached 111 billion euros in 2024.
Attribution
Information adapted from international news reporting.
