Historic EU-South America trade deal finally comes through after 20-year wait
A ground-breaking trade partnership between EU and South American nations just got finalized after two decades of talks. The deal needs to pass through complex approval steps in both regions before taking effect
The long-awaited trade deal between EU and four South-American nations has reached its final stage in early dec-2024. Brazil‚ Argentina‚ Paraguay and Uruguay - the founding members of Mercosur trade bloc worked out last details with European officials in montevideo
The deals implementation faces some road-blocks: while South-American countries just need their parliaments approval‚ EU has a more complex path ahead. The core trade part might get a fast-track treatment (requiring support from 15 EU countries that make up 65% of EU population); however some parts need all 27 members to agree
- France leads the opposition group
- Germany and Spain support the deal
- Nine more EU countries back the agreement
- Austria‚ Poland‚ and Netherlands might join French resistance
The partnership covers a huge market of 700+ million people and could cut about 4-billion euros in yearly tariffs. EU car makers and manufacturers will get better access to South-American markets; while local farmers can sell more meat and grain products to europe
The deal had its ups-and-downs since the first version came out about 5 years ago. Environmental worries (specially about amazon rainforest) caused delays but recent talks in brasilia fixed these issues. Now both sides agreed on rules about nature protection and government buying
