Particle.news
Download on the App Store

EU Signs Mercosur Trade Deal in Paraguay With Ratification Fight Looming

Parliament will vote Wednesday on whether to seek a court opinion that could pause the process for months.

Overview

  • The text was signed in Asunción after EU governments approved it by qualified majority despite no votes from France, Ireland, Austria, Hungary and Poland.
  • The signature does not activate the pact, which still requires consent from the European Parliament and ratifications by the Mercosur national parliaments.
  • On Wednesday MEPs will vote on requesting a European Court of Justice opinion, a move that could halt ratification for many months or even years.
  • The European Commission has left open the option of provisional application of the trade chapter, prompting warnings from lawmakers against bypassing a plenary vote.
  • The agreement includes capped quotas and safeguard clauses for sensitive farm goods—such as a 99,000‑tonne beef quota at a 7.5% tariff—while studies forecast only small EU‑wide economic gains.