EU provisionally implements agreement with Mercosur countries

2026-02-27 17:56:00, Kosova & Bota CNA

European Commission President Ursula von der Leyen announced in Brussels that the agreement with Mercosur will be implemented soon, although it is still awaiting review by the European Court of Justice.

She said the agreement creates a market of 720 million people and reduces customs tariffs by billions.

Uruguay and Argentina were the first countries to ratify the agreement. This allows companies from both countries and the EU to benefit from the trade rules agreed in the agreement.

Among other things, customs tariffs on most products are eliminated. Brazil, Paraguay and Bolivia have not yet given their approval.

Germany welcomes the move, criticism from France

German Foreign Minister Johann Wadephul and German Chancellor Friedrich Merz welcomed the European Commission's decision, according to spokespeople for all three.

The chairman of the European Parliament's Trade Committee, Bernd Lange, said this was an exceptional situation because MEPs can only vote after a ruling by the European Court of Justice.

French President Macron, for his part, spoke of a "bad surprise." The European Commission's decision is an expression of lack of respect for the European Parliament, Macron said.

Formal ratification could take a long time

In January, the European Parliament voted by a narrow majority to have the European Court of Justice review the agreement. A vote will only take place then. However, the court's review could take up to two years.

For this reason, the German government and other European governments have expressed their support for the provisional implementation of the agreement. In Germany, the automotive and chemical industries will particularly benefit from the trade agreement.

The agreement was negotiated for more than 25 years.

The agreement with Mercosur was signed at the beginning of the year after more than 25 years of negotiations. There is resistance within the EU, for example from Poland and France, especially in the agricultural sector.

Furthermore, critics of the agreement argue that it will undermine EU standards for consumer protection, the environment and animal welfare, something the European Commission categorically rejects. /DW