Lula returns to Brazil with ultimatum to conclude EU-Mercosur agreement

After a trip to Europe, President Luiz Inácio Lula da Silva returned to Brazil this Saturday (24). According to Planalto’s official agenda, the Chief Executive landed at Brasília Air Base at 5:40 pm. The agreement between the European Union and Mercosur was one of the main subjects discussed in France.

The agreement to create a free trade area between the two blocs was concluded in 2019, but the text has not yet been ratified by either European parliaments or EU presidents.

In a press conference, the PT said that the “most important” point of his visit was what he discussed with Macron about the EU-Mercosur agreement. The French head of state has been reluctant to finalize the deal on protectionist and environmental grounds.

“We need an agreement with the EU, and the EU needs it too, because it cannot remain like a slice of mortadella between the United States and China”, defended Lula in a Parisian hotel, during the press conference on the balance of the European visit started last Tuesday (19).

The French parliament argues that the text, if approved in this version, will bring environmental impacts and competition in relation to Brazilian agricultural products. The French also question the use of pesticides in Brazil, which are banned in Europe, and the discrepancy between labor rights in the two blocs.

“Just as he [Macron] he has to protect his agricultural interests, we have to protect the interests of our small and medium-sized companies”, said Lula. He also stated that Brazil cannot give up government purchases, a condition that causes friction with France.

On Friday (23), Lula declared again that “trade agreements have to be fairer” and criticized the addendum to the demands made by the Europeans. “I’m dying to make a deal with the European Union. But it is not possible. The additional letter that was made by the European Union does not allow an agreement to be reached”, explained Lula. “It is not possible that we have a strategic partnership and there is an additional letter posing a threat to a strategic partner. How are we going to solve this?”, he asked.

This Saturday, the PT said that the Mercosur countries’ response to the European Union’s additional letter should be made by the end of 2023. for Mercosur and it is important for the meeting that will take place now in July”.

In four days, the Brazilian representative met with Pope Francis, with the president of Italy, Sergio Mattarella, with the Italian prime minister, Giorgia Meloni, participated in a summit in Paris in favor of a new global financial pact and had several bilateral meetings, including with French President Emmanuel Macron.