EU moves to revive long‑discussed Mercosur free trade deal with South America

EU ministers met in Brussels to restart talks on a free trade agreement with Mercosur nations, and officials said negotiations could continue with a possible signing in Paraguay on Jan. 12.

The European Union has renewed internal negotiations on a long‑standing free trade agreement with Mercosur members Brazil, Argentina, Bolivia, Paraguay and Uruguay. Ministers of Agriculture from EU member states met in Brussels to discuss measures to protect farmers while assessing the economic and geopolitical aspects of the deal. EU trade negotiator Maros Sefcovic described the agreement as the biggest the bloc has negotiated and said it could boost EU agrifood exports by up to 50%. The move follows a December delay driven by opposition in France and comes amid broader commercial tensions with the U.S. and China. Known details: - EU Ministers of Agriculture met in Brussels to discuss protections for farmers and the potential benefits of a Mercosur trade deal. - Maros Sefcovic said the deal could increase EU agrifood exports by up to 50% and called it a landmark agreement. - Officials said negotiations are due to continue on Friday, and there is speculation the commission could sign the agreement in Paraguay on Jan. 12. - France, led by President Emmanuel Macron and Agriculture Minister Annie Genevard, has opposed the deal and sought safeguards, citing risks to sectors such as beef, chicken, sugar, ethanol and honey. - Italy is seen as a potential swing country; Prime Minister Giorgia Meloni welcomed proposals to fast‑track funds for farmers but did not commit full support, and her backing would be pivotal for overcoming objections from France and Poland. Summary: The agreement would progressively remove duties between the EU and Mercosur and cover a market of roughly 780 million people and about a quarter of global GDP. Negotiations are scheduled to continue on Friday, and officials have indicated the commission could sign the deal on Jan. 12 in Paraguay, after which it would be debated in the European Parliament. Approval by the parliament is not guaranteed given ongoing opposition within some member states.