Mercosur and the European Union say they are “engaged” in concluding a trade agreement

Mercosur and the European Union released a joint note this Thursday (7) highlighting that they are “engaged” to conclude the trade agreement between the blocs “quickly”. The agreement has been negotiated for more than 20 years. The statement was released during the 63rd Summit of Heads of State of Mercosur and Associated States, held in Rio de Janeiro.

“The EU and Mercosur are engaged in constructive discussions with a view to finalizing outstanding issues within the scope of the Association Agreement”, says the note. Last week, French President Emmanuel Macron said he was “completely against” the trade deal.

“It’s an old-fashioned trade agreement that dismantles tariffs. In recent years, these agreements have been greatly improved,” said Macron during his participation at COP28 in Dubai. Despite the French leader’s position, President Luiz Inácio Lula da Silva (PT) said he will not give up on the agreement. For Lula, France is a “protectionist” country, but the European Union has a different view.

In the joint note, the blocs highlighted that in recent months “considerable progress” had been made in the discussions. “Negotiations continue with the ambition of concluding the process and reaching an agreement that is mutually beneficial for both regions and that meets the demands and aspirations of the respective societies,” says the statement.

The European Union and Mercosur also stated that they hope to “quickly” close the trade agreement. “Based on the progress made to date in negotiations, both parties hope to quickly reach an agreement that matches the strategic nature of the ties that bind them and the crucial contribution they can make to addressing global challenges in areas such as sustainable development, the reduction of inequalities and multilateralism”, they concluded.