EU approves Mercosur trade deal despite protests, following safeguards agreement

Building on December's agricultural safeguards amid opposition from France and others, EU states approved the long-stalled Mercosur trade deal in Brussels on Friday, despite farmer protests. The pact protects European designations like Champagne and Feta, includes quotas and emergency brakes for EU agriculture, and strengthens Europe's geopolitical stance in Latin America after 25 years of talks.

EU member states greenlit the landmark trade agreement with Mercosur (Brazil, Argentina, Uruguay, Paraguay) in Brussels, advancing past the safeguards compromise reached in Strasbourg last December. Those measures—covering beef, poultry, ethanol and more, with triggers for import surges—addressed fears of cheap South American imports flooding the market.

Farmer protests persisted, with blockades and clashes in capitals, but the deal includes robust protections: geographical indications for products like Champagne, Feta, and Parmesan now extend to Mercosur markets, alongside quotas and emergency mechanisms.

The agreement opens markets for over 700 million people, diversifies EU supply chains, and counters China's growing influence in Latin America amid US protectionism. It signals Europe's commitment to open trade while prioritizing domestic agriculture, overcoming years of lobbying resistance.

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EU and Mercosur leaders shake hands on trade deal as farmers protest in the background.
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EU approves Mercosur trade deal after decades of negotiations

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EU countries have backed the historic trade deal with Mercosur by qualified majority, paving the way for signing on January 17 in Paraguay. The agreement, negotiated for over 25 years, sparks divisions due to farmers' protests fearing unfair competition. Spain supports the decision, seen as a step toward European strategic autonomy.

Building on recent calls for delays from France and others, the EU has secured additional safeguard clauses for agriculture to advance the long-stalled free trade agreement with Mercosur. Brazil presses for swift approval ahead of the planned Saturday signing, as reservations persist among member states.

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The European Council approved the free trade agreement between the European Union and Mercosul on Friday (9), with support from 21 of the 27 member states, following negotiations started in 1999. Despite the progress, hurdles remain, including European Parliament approval and potential legal challenges from countries like France. Signing is scheduled for January 17 in Asunción, Paraguay.

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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European Commission President Ursula von der Leyen confirmed the postponement of the EU-Mercosur free trade agreement signing to January, canceling her trip to Foz de Iguazú. The move stems from opposition by France and Italy, fueled by farmer protests in Brussels fearing South American competition. Brazilian President Lula da Silva accepted the delay following talks with European leaders.

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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Chancellor Friedrich Merz announced at the Deutsche Börse New Year's reception in Eschborn that the EU free trade agreement with Mercosur states will enter provisional force before the completion of an EuGH review. He views it as a path to greater European independence in an uncertain world order. The agreement was signed at the start of the year after more than 25 years of negotiations.

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