The EU-Mercosur free trade agreement is on the brink of finalization, with European Commission President Ursula von der Leyen visiting Uruguay to push negotiations forward. Despite efforts to conclude the deal by the end of the year, significant opposition remains, particularly from France, which deems the agreement unacceptable in its current state. France, along with Poland, insists on protecting agricultural sovereignty, fearing the impact of lower tariffs on imports such as beef and poultry from South America.
The agreement, which aims to create a large common market, is also met with resistance from various political factions across the EU, including extreme right and left parties. European farmers express concerns over unfair competition, especially regarding products that use chemicals banned in the EU.
China's growing influence in Latin American markets adds urgency to the EU's negotiations, as the bloc seeks to strengthen trade ties in the region. However, environmental considerations are taking center stage, with European negotiators advocating for the inclusion of environmental standards and commitments from Mercosur countries to combat deforestation.
While some EU countries like Germany are eager to finalize the agreement, others remain uncertain, with Austria, the Netherlands, Ireland, and Italy still undecided. The potential division of the agreement into separate trade and political components is also under consideration to address objections from critical EU states.
Amid protests and ongoing negotiations, the EU-Mercosur agreement continues to face significant hurdles, highlighting the complex interplay between trade interests, agricultural sovereignty, and environmental protection.
