Overview
- Lula announced the plan after the G20 in Johannesburg, calling the pact potentially the world’s largest trade deal by market size.
- The signing is expected in Brasília rather than the Mercosur summit in Foz do Iguaçu because several leaders are likely to be absent, and the summit could be rescheduled to January.
- France reiterated it will only back the pact with a “robust” safeguard to curb imports if sensitive sectors face harm, with beef, poultry, sugar and honey highlighted.
- EU procedures still require a European Parliament vote and ratification by a significant number of member states, and Mercosur legislatures must also approve before provisions can take effect.
- Talks began in 1999 and produced a political agreement in late 2024, and the European Commission moved the file toward ratification in September.