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EU Governments Authorize Mercosur Trade Deal for Signature After 25 Years

Ursula von der Leyen is set to sign in Paraguay next, with European Parliament approval still required.

Overview

  • The Council secured a qualified‑majority mandate empowering the European Commission to sign the EUMercosur agreement.
  • France, Hungary, Poland, Austria and Ireland voted against and Belgium abstained, while Italy’s late switch to support proved decisive.
  • Brussels offered reinforced agricultural safeguards and budget‑timing measures, including reported advances of up to €45 billion in CAP funds, to win backing.
  • Farmers mounted new protests, including tractor demonstrations around Paris, over concerns about cheaper South American imports and differing production standards.
  • The pact would establish the EU’s largest trade area with Mercosur, remove most bilateral tariffs for a market of 700+ million people, and still faces a European Parliament vote and potential legal challenges.