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EU to Sign Mercosur Trade Pact in Paraguay After Council Greenlight

Parliamentary consent is still required before any tariff changes take effect.

Overview

  • EU leaders Ursula von der Leyen and António Costa are slated to attend a Saturday signing ceremony in Paraguay for the EUMercosur agreement.
  • A qualified‑majority vote by member states cleared the deal after Italy reversed its stance, overcoming opposition from France and Poland.
  • Farmers protested in multiple countries, including about 150 tractors in Paris, as the French government prepared extra aid beyond an earlier €300 million package.
  • Austrian retailers Spar, Billa/REWE, Lidl and Hofer pledged to keep fresh meat sourcing 100% domestic rather than buy from Mercosur suppliers.
  • The pact removes most tariffs, with the Commission forecasting up to a 39% rise in EU exports, and it includes fixed quotas on beef and poultry plus safeguard measures.