EU Pushes MERCOSUR Trade Pact Signing to January 2026

Overview

• EU leaders agreed to defer the formal signing after their Brussels summit, setting the earliest timeline for January.
• European Commission President Ursula von der Leyen said several weeks are needed to work through outstanding issues with member states and noted MERCOSUR partners agreed to the pause.
• Italy requested the delay to calm domestic farming organizations, and Brazil’s President Luiz Inácio Lula da Silva said he would present the revised timing to MERCOSUR partners.
• German industry groups BDI and VDA criticized the further postponement as weakening Europe’s geostrategic standing, while the German government voiced confidence the pact can be concluded soon.
• The agreement reached in December 2024 still requires unanimous approval by EU countries, with resistance from farm lobbies and governments such as France and Poland.