EU fast-tracks trade deal with South American bloc
European Commission President Ursula von der Leyen will begin “provisionally implementing” a major trade deal with the Mercosur bloc in South America despite a lack of approval from the European Parliament.
“We are ready when they are ready,” von der Leyen said on Friday.
With the support of European leaders, he said the commission would “provisionally implement the agreement” after Uruguay and Argentina ratified the EU-Mercosur trade deal on Thursday.
The agreement has been negotiated for a quarter of a century between the countries, which are now home to more than 700 million people, accounting for a quarter of global gross domestic product and forming one of the world’s largest free trade areas.
This follows global trade shocks, with US-imposed tariffs and restrictions on critical mineral supplies to China prompting the 27-nation EU to enter into a series of free trade agreements with other countries around the world.
But the deal faced fierce opposition from Europe’s agricultural sector and elected representatives in the European Parliament were expected to face tough questions.
Von der Leyen is ignoring these MPs for now; It is an unusual move for the European administration and is likely to spark criticism.
“Mercosur represents Europe’s spirit of acting on the global stage,” von der Leyen said at a press conference.
No questions were allowed.
“Our businesses, our employees and our citizens will reap the fruits of this, and they should reap these fruits as soon as possible,” he said.
“This is about resilience, this is about growth and Europe shaping its own future.”
He also acknowledged that “the agreement can only be fully concluded after the European Parliament has given its approval.”
“Therefore, the commission will continue to work closely with all EU institutions, member states and stakeholders to ensure a smooth and transparent process,” he said.
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