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The EU and Mercosur finalized a major trade deal after 25 years, slashing tariffs and boosting economic ties.
The European Union and Mercosur have approved a landmark trade agreement after over 25 years of negotiations, with EU countries overriding French opposition to move forward.
The pact, hailed by Brazilian President Lula as a historic win for multilateralism, links two major blocs with 718 million people and a combined GDP of $22.4 trillion.
It will eliminate tariffs on most goods through phased schedules, with Mercosur liberalizing 91% of goods and 85% of import value from the EU, and the EU extending similar access to 95% of goods and 92% of import value from Brazil.
The agreement includes modern provisions on sustainability, government procurement, intellectual property, and emerging technologies, aiming to boost trade, investment, and resilience amid global protectionism.
Analysts expect long-term benefits for Brazilian agribusiness, though environmental concerns persist.
Implementation will begin under a defined schedule.
La UE y el Mercosur finalizaron un importante acuerdo comercial después de 25 años, reduciendo drásticamente los aranceles y reforzando los lazos económicos.