EU provisionally applies trade deal with Mercosur

European Commission President Ursula von der Leyen announced on February 27 the provisional application of the EU-Mercosur trade agreement, without awaiting ratification by the European Parliament. This move, welcomed in Berlin, comes as Emmanuel Macron appears weakened on the European stage following the failed dissolution of the National Assembly in June 2024. It highlights Franco-German tensions amid the Paris Agricultural Show and ahead of municipal elections.

Emmanuel Macron, limited by national impotence since the dissolution of the National Assembly in June 2024, is seen as weakened in Brussels, akin to a "lame duck." Ursula von der Leyen's announcement on Friday, February 27, of the provisional application of the EU-Mercosur trade agreement—bypassing European Parliament ratification—could not have come at a worse time for the French president. The move delighted Berlin but left Macron vulnerable to criticism in France, during the Agricultural Show, less than a month before municipal elections and a year and a half from the presidential vote where the National Rally leads in polls.

This development reflects a European landscape where France appears sidelined. While Macron has won ideological battles on European sovereignty, his current standing is reduced. Analyses point to the need to revive the Franco-German engine to bolster France's role in the EU, preventing the spillover of domestic challenges to the continental stage.

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Ursula von der Leyen announces Mercosur trade deal delay to EU leaders at Brussels summit, with massive farmer protests visible outside.
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EU confirms Mercosur deal delay to January at Brussels summit amid protests

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Ursula von der Leyen announced to EU leaders the postponement to January of the Mercosur trade agreement signing, originally set for Brazil this weekend, after failing to secure a majority due to French and Italian opposition for stronger farmer safeguards—following earlier EU proposals and amid massive Brussels protests.

The French government is demanding a delay in the planned signing of the free trade agreement with Mercosur states. This stems from pressure by farmers who fear disadvantages due to differing standards. EU Commission President Ursula von der Leyen intended to sign the deal on Saturday in Brazil.

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Following initial French demands for a delay, President Emmanuel Macron has personally asked EU Commission President Ursula von der Leyen to postpone Mercosur free trade agreement deadlines, citing unmet protections for farmers. France pushes for safeguard clauses and mirror measures ahead of a December 20 summit in Brazil.

The planned signing of the free trade agreement between the EU and the Mercosur states Brazil, Argentina, Uruguay, and Paraguay has been postponed. Italian Prime Minister Giorgia Meloni stated that her country is not yet ready to approve it, preventing the required majority. A new date is expected in the first half of January.

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Brazil's Senate approved the EU-Mercosul free trade agreement on Wednesday (4), completing congressional proceedings and sending the text for presidential sanction. The treaty is expected to take provisional effect in May after notification to the EU. Negotiated since 1999, it links markets with a combined GDP of $22 trillion and will eliminate tariffs on 91% of bilateral trade.

The EU-Mercosur free trade agreement was signed on January 17, 2026, in Asunción, Paraguay, but faces strong opposition from France's right-wing. Les Républicains aim to delay its entry into force to safeguard national agriculture. Protests occurred in Strasbourg, with a resolution to refer the matter to the EU Court of Justice upcoming.

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Following border blockages, hundreds of French farmers defied restrictions to enter Paris with tractors protesting the EU-Mercosur deal. President Macron confirmed France's opposition, citing risks to food sovereignty, as the EU nears a vote.

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