The five-year-long EU-Mercosur trade talks might reach its peak tomorrow in Montevideo‚ where Ursula von der Leyen plans to meet with Uruguayʼs president (showing new signs of progress)
Last weeks negotiations in Brazil brought unexpected results; all four founding Mercosur members support current terms. However France and Poland dont agree with deal – mainly due to farm-trade concerns. German and Spanish officials lead a group of 11 EU countries pushing for quick deal-making: they want to lower dependence on Chinese trade
The talks involve complex trade-offs between South-American agricultural exports and EU market access. Recent in-person meetings showed good progress but theres still work to be done. Officials note that even with agreement‚ the text needs translation into 20+ languages; this could take several months
Newly-elected Argentine President Javier Milei will make his first appearance at Mercosur meeting. His stance on bloc membership raises questions – he wants more freedom for one-on-one deals with other countries. The outcome of EU talks might affect his decision to:
- Stay in Mercosur if deal succeeds
- Push for exit if negotiations fail
- Look for separate trade options
The trade negotiations started back in early-2000s got first major breakthrough about five years ago. Yet environmental commitments and market-access issues kept final agreement on hold