EU Commission to Apply Mercosur Deal Prematurely, Triggering Parliamentary Pushback
Economy / Finance

EU Commission to Apply Mercosur Deal Prematurely, Triggering Parliamentary Pushback

The European Commission has decided to implement the trade agreement with the Mercosur member states on a provisional basis, as President Ursula von der Leyen announced on Friday. While the move is aimed at creating a free‑trade zone for approximately 720 million people, it could provoke significant backlash from opposition members in European capitals and from MPs who remain skeptical about the pact.

The agreement, which had been stalled because it had not yet received formal approval from the European Parliament, was recently sent to the EU Court of Justice for review by parliamentarians. That action could effectively freeze the final ratification for up to two years. Implementing the deal now might strengthen the opposition’s position in the Parliament, upset skeptical governments such as France and Poland, and jeopardise the agreement if a final vote is eventually held.

In January, the Commission secured a “green light” from EU member states to move forward with implementation once the Mercosur countries complete their own approval processes. Both Argentina and Uruguay ratified the agreement on Thursday, signalling progress on that front.

Critics warn that European farmers could be forced into a price war and that the agreement could accelerate deforestation in South America. They also question whether the stringent EU standards for food safety, animal and plant protection could be circumvented. The Commission denies these accusations, stating that only products meeting EU regulations will be allowed into the single market.