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EUMercosur Trade Deal Signed, Backed in Europe as Ratification Looms

Approval across member states remains uncertain due to farm and environmental opposition.

Overview

  • The pact eliminates tariffs on more than 90% of EUMercosur trade through multi-year phase-ins and includes safeguard provisions.
  • Together the blocs encompass roughly 780 million people and around a quarter of global GDP.
  • Argentina sees new openings for agroindustry and value-added exports, with gains dependent on macroeconomic stability and competitiveness.
  • Compliance with EU requirements on traceability, deforestation and carbon footprint will be crucial for market access.
  • Argentina’s government welcomed the accord, with Foreign Minister Pablo Quirno praising access to a market that was its third-largest destination in 2025.