EU likely to delay free-trade deal with South America as French farmers block roads
French and Italian leaders seek stronger safeguards and import controls to protect agriculture, risking delay of a trade deal covering 780 million people, officials said.
- On Dec 18, French farmers used 150 tractors to block roads in Brussels, disrupting summit venues as Sebastien Lecornu, French Prime Minister, urged delaying the EU vote before Ursula von der Leyen's Brazil signing on December 20.
- Political efforts to assemble a blocking minority have intensified as agricultural fears mount, with France rallying EU member states and demanding mirror clauses, safeguard mechanisms, and food safety inspections.
- The European Commission highlights the deal's importance, with the EU exporting 235.4 billion euros in 2024, as Sanchez said, `This trade agreement is the first of many that must come so that Europe gains geo-economic and geopolitical weight at a time when it is being questioned by clear adversaries, such as Putin, or even by traditional allies`, and Merz stressed, `If the European Union wants to remain credible in global trade policy, decisions must be made now`.
- With French objections and Italy's reluctance, the EU vote may be delayed into 2026, as President Luiz Inacio Lula da Silva warned it 'will not happen at all while he is president.'
- Supporters say the deal diversifies markets and shields exporters from tariff pressure, while critics warn it could spur Amazon deforestation and flood European Union markets with cheaper Mercosur agricultural commodities.
164 Articles
164 Articles
EU delays massive free-trade deal with South American bloc Mercosur amid farmer protests
The European Union is delaying a massive free-trade deal with South American countries after fiery protests by farmers and last-minute opposition by France and Italy threatened to derail the pact, seen by its backers as an important geopolitical move for both continents.
The Head of State called for a "safeguard clause" and "reciprocity" within the framework of the agreement with Mercosur.
Since Brussels, the Head of State has reaffirmed France's "extremely clear" position of opposing an immediate signature of the Treaty.
After an insufferable negotiation of almost 25 years, of comings and goings and of seasons gathering dust in a drawer, it was Donald Trump’s arrival at the White House, with his protectionist policy, which gave impetus a year ago to resume the agreement between the EU and Mercosur. The pact, which would create the world’s largest free trade area and which was about to be definitively completed, nevertheless hangs on a thread by France’s rejectio…
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