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1h ago

EU and Mercosur Set to Sign Long‑Negotiated Trade Pact Creating a Vast Free‑Trade Zone

Ratification prospects look tight in Brussels, with farmer mobilizations mounting.

La présidente de la Commission européenne, Ursula von der Leyen, et le président brésilien, Luiz Inácio Lula da Silva, à la veille de la signature de l'accord entre l'UE et le Mercosur à Rio de Janeiro, au Brésil, le 16 janvier 2026.
Des ouvriers installent la scène pour la cérémonie de signature de l’accord entre l’Union européenne et le Mercosur au Gran Teatro José Asunción Flores de la Banque centrale du Paraguay, à Asuncion, le 16 janvier 2026.
La viande bovine concentre l’essentiel des tensions.
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Overview

  • The signing ceremony is scheduled today in Asunción with Ursula von der Leyen attending, while Brazil’s Luiz Inácio Lula da Silva, who pushed the talks forward, will not be present.
  • The pact would connect markets representing roughly 30% of global GDP and more than 700 million consumers, cutting tariffs on EU exports such as cars, machinery, wines and cheeses.
  • Quotas would facilitate South American shipments of beef, poultry, sugar, rice, honey and soy into the EU, including a 99,000‑ton annual beef quota that has raised alarms among European farmers.
  • The agreement still requires European Parliament approval, with a close vote anticipated and major farmer protests planned, including a rally in Strasbourg on January 20.
  • The European Commission says EU sanitary standards remain unchanged and all imports must comply, and the EU and Brazil are also moving toward a political deal on joint investments in lithium, nickel and rare earths.