Published 12/05/2024 16:52 | Edited 12/05/2024 17:35
The conclusion of the historic trade agreement between Mercosur and the European Union (EU) seems closer than ever. The president of the European Commission, Ursula von der Leyen, arrived in Latin America this Thursday (5), to participate in the Mercosur summit in Montevideo, Uruguay, reinforcing expectations that the announcement of the pact is imminent.
“We landed in Latin America. The finish line of the EU-Mercosur agreement is in sight. Let’s work, let’s get through it. We have the opportunity to create a market of 700 million people”, wrote Von der Leyen on the social network X, hours before a meeting with leaders of the South American bloc.
Largest free trade zone in the world
The treaty, which has been negotiated for more than 25 years, aims to create the largest free trade zone in the world, involving 27 EU countries and the four founding members of Mercosur — Brazil, Argentina, Paraguay and Uruguay. After an agreement in principle reached in 2019, negotiations faced a long standstill, but were recently resumed under pressure from the European Commission.
French resistance
Despite the optimism, France remains one of the main obstacles to the progress of the agreement. President Emmanuel Macron reiterated that the pact is “unacceptable in its current state” and highlighted the need to protect the country’s agricultural sovereignty. French opposition reflects the fear that Mercosur products, especially agricultural products, will harm European producers.
In response to concerns, Von der Leyen has defended that the agreement includes environmental commitments and high sustainability standards. However, analysts point out that overcoming France’s objections may require additional negotiations.
Changes in Mercosur and political support
On the Mercosur side, the leaders of Brazil, Argentina, Paraguay and Uruguay signaled their willingness to conclude the agreement. Argentine President Javier Milei, initially opposed to the treaty, changed his position, facilitating consensus within the bloc.
Brazilian President Luiz Inácio Lula da Silva, who will also participate in the summit, has shown confidence that the pact will be concluded. Brazilian government sources highlighted that technical issues have been overcome and that the signature now depends on political decisions.
“The fact that Ursula von der Leyen came to Montevideo is a clear indication that we are very close to a positive outcome,” commented a senior Itamaraty official.
If the agreement is signed, it will still need to go through a complex ratification process. In Mercosur, the national congresses of each country must approve it. In the European Union, the pact will be submitted to the European Council, made up of the heads of state of the 27 countries, and to the European Parliament, with 720 members.
Decisive dome
The Mercosur summit, which brings together the presidents of the four member countries between this Friday (6) and Saturday (7), promises to be a milestone for global economic integration. The Uruguayan Minister of Foreign Affairs, Omar Paganini, stated that all Mercosur countries support the agreement and that it will be concluded during the meeting.
Expectations are high, and Von der Leyen’s presence in Montevideo reinforces the hope that the long negotiation process is finally coming to an end, paving the way for a new era of economic cooperation between the two blocs.
Source: vermelho.org.br
