This trade deal took 25 years of talks, and it was approved today - here's all about it
EU Mercosur trade deal: After over two decades of talks, the EU has approved its trade agreement with Mercosur, a significant milestone. Despite opposition from France, Poland, Austria, Ireland, and Hungary, a qualified majority of member states b...

EU Mercosur trade deal
Which EU countries supported and opposed the EU-Mercosur agreement
A qualified majority of EU member states backed the deal, giving it the political green light. France, Poland, Austria, Ireland and Hungary voted against the agreement, Belgium abstained, and Italy ultimately supported it after pushing for a delay last month, as per a Politico report.How the EU’s qualified majority cleared the trade deal
The approval process unfolded in two steps. First, EU ambassadors in Brussels delivered the required qualified majority. That support was then formally confirmed through a written procedure involving EU capitals, sealing the bloc’s backing of the agreement.Also read: Supreme Court tariff ruling delay sparks crypto rally today – Bitcoin (BTC USD) price, Ethereum and XRP jump
The deal signals EU’s global trade ambitions
European Commission President Ursula von der Leyen hailed the decision as a signal of the EU’s global trade ambitions. She said in a statement, "Our message to the world is this: Partnership creates prosperity and openness drives progress," as quoted by Politico. Von der Leyen indicated the treaty could be signed “soon” in Paraguay, though she did not specify an exact date.What the EU-Mercosur deal means for farmers and agriculture
Concerns from Europe’s farming sector were a major sticking point throughout negotiations, and additional safeguards were approved alongside the deal. These measures would kick in if imports from Brazil, Argentina, Paraguay or Uruguay surge beyond agreed levels.Von der Leyen said that "We have heard the concerns of our farmers and our agricultural sector and we have acted on them. This agreement contains robust safeguards to protect their livelihoods," as quoted by Politico. She has been one of the deal’s strongest supporters and personally helped conclude negotiations in late 2024.
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World’s largest free trade area set to cover 700 million people
Once finalized, the EU-Mercosur agreement would create the world’s largest free trade area, covering around 700 million people. From Brussels’ perspective, it is also a strategic win as China’s trade influence in Latin America continues to grow.Why the deal matters as US tariffs increase under Trump
The timing is notable. As US president Donald Trump ramps up global tariffs, the agreement offers both Europe and Mercosur countries a measure of predictability, as per the Politico report. European industries expected to benefit from lower tariffs include automotive, aviation and machinery, along with agricultural exports such as wine and cheese.What happens next before the EU-Mercosur deal takes effect
The deal is not yet final. After it is signed by von der Leyen and her Mercosur counterparts, it must be approved by the European Parliament. Parts of the agreement that go beyond trade policy will also require ratification by national parliaments across the EU.Negotiations on the EU-Mercosur deal began 25 years ago and have been repeatedly stalled by political, environmental and agricultural concerns. As recently as 2025, the EU revised the agreement to include billions of euros in support for farmers worried about competition from South American imports.
FAQs
Which countries opposed the agreement?France, Poland, Austria, Ireland and Hungary voted against it.
Did all EU countries vote?
Belgium abstained, while Italy supported the deal after a delay last month.
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