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The EU is set to provisionally implement its 25-year-old trade deal with South America’s Mercosur bloc, despite French opposition and legal challenges, to boost exports and diversify supply chains.
The EU is preparing to implement its long-delayed trade deal with South America’s Mercosur bloc—Argentina, Brazil, Paraguay, and Uruguay—despite French opposition and a pending legal challenge at the EU Court of Justice.
The agreement, signed after 25 years, could eliminate €4 billion in tariffs and boost EU exports, while helping the bloc diversify supply chains and reduce reliance on China for critical minerals like lithium and copper.
The EU may apply the deal provisionally as early as April or May if Mercosur begins ratification, with Argentina leading the process.
A study estimates the EU lost €291 billion in GDP from 2021 to 2025 due to delays.
The pact also includes climate commitments, regulatory cooperation, and cybersecurity provisions, reflecting broader strategic goals amid global competition.
La UE está preparada para aplicar provisionalmente su acuerdo comercial de 25 años de antigüedad con el bloque Mercosur de América del Sur, a pesar de la oposición francesa y los desafíos legales, para impulsar las exportaciones y diversificar las cadenas de suministro.