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EU and Mercosur Seal Trade Deal in Asunción With Ratification Fight Ahead

Next comes an EU ratification fight, with planned farmer protests in Strasbourg alongside a possible court referral that could delay approval.

Overview

  • The agreement aims to remove over 90% of tariffs, open public procurement and create a market spanning about 700 million people worth nearly one‑fifth of global GDP, with a chapter committing cooperation on sustainable development and climate neutrality.
  • The text was formally signed in Asunción by EU Trade Commissioner Maroš Šefčovič and Mercosur negotiators, which the European Commission said was required by protocol.
  • In Strasbourg next week, the European Parliament is slated to vote on a request to refer the pact to the EU Court of Justice on Wednesday and on a censure motion against the Commission on Thursday.
  • Farmer groups have announced a tractor blockade in Strasbourg on January 20 to protest the deal and its expected impact on agriculture.
  • If MEPs reject the court referral, a plenary ratification vote could follow in April–May after a February vote on farmer safeguard measures; a referral could halt the process for 18–24 months.