Overview
- The agreement was signed on January 17 in Asunción, creating a market that spans more than 700 million people and roughly 30% of global GDP.
- It removes tariffs on over 90% of bilateral trade, boosting EU exports such as cars, machinery, wine and cheese, while granting South American farm goods broader access under quotas.
- The text includes a 99,000‑tonne annual beef quota that producers warn could weigh heavily on higher‑value cuts in Europe.
- European lawmakers must vote on the deal and national ratifications are still required, although the commercial provisions can be applied provisionally once Parliament approves.
- Farmers’ unions across several EU countries continue to oppose the pact, with fresh demonstrations planned in Strasbourg, and critics in Mercosur warn of risks to local industry and technology.