The assessment of the agreement between Mercosur and the European Union was not unanimous among the largest economies on the Old Continent. While Germany and Spain celebrated the end of negotiations, France publicly pledged its opposition to the agreement.
Leader of Europe’s largest economy, German Prime Minister Olaf Scholz praised that, after more than two decades of negotiations, an important obstacle to the agreement had been overcome, which creates a free market with more than 700 million people, providing more growth and competitiveness.
Spanish President Pedro Sanchez called the agreement historic and said his country would work to have the terms approved by the majority of the European Council. “Trade opening with our Latin American brothers will make us – all of us – more prosperous and stronger.”
In France, the reaction was the opposite. A declared opponent of the agreement due to pressure from its farmers, the French government promised to continue working against the approval of the partnership with Mercosur.
The Minister of Foreign Trade, Sophie Primas, recalled that the member countries of the two blocs have not yet signed the agreement, and that the approval of the European Council and the European Parliament is necessary. “France will fight every step of the way alongside member states that share its vision,” he declared.
Poland’s Prime Minister, Donald Tusk, also expressed his annoyance through his office’s social media profile.
“Currently, Poland and France are the countries that firmly say “no” to the agreement with Mercosur. For us, the most important thing is that it does not come into force. We still do not have the minimum share of votes to block the agreement. If we had Italy on our side, we would probably have this majority.”
Sources heard by the Italian news agency Loop also pointed to concerns about farmers as a reason for Italy’s reservations about the agreement. According to the agency, the Italian government assesses that it is not yet able to sign.
The end of negotiations does not yet mean that the agreement will come into force. In addition to revisions and translations, the text still needs to be ratified internally by Mercosur countries, in addition to being approved by the European Parliament and the Council of the European Union. Among Europeans, the opposition of at least four of the 27 member countries could block the agreement, as long as they account for 35% or more of the bloc’s population.
Europe’s victory
The end of the negotiations was celebrated by the president of the European Commission, Ursula von der Leyen, as a “victory for Europe”. She recalled that around 60 thousand European companies currently export to Mercosur, and half of them are small and medium-sized companies.
“In an increasingly conflictual world, we demonstrate that democracies can support each other. This agreement is not just an economic opportunity, it is a political necessity. We are partners with common mentalities, who have common roots”, he said at the ceremony marking the announcement, held in Uruguay.
Another supporter of the agreement was Portuguese President Marcelo Rebelo de Sousa, who said he hoped the EU-Mercosur agreement would be quickly confirmed by the European Parliament and member states. In his view, countries, companies and citizens will benefit.
The Swedish government also celebrated the announcement. The Minister of Commerce, Benjamin Dousa, said that the agreement has always had the support of the Swedes and is a victory for the country. “We were the anchor for a yes,” he recalled. “Free trade with large parts of South America means enormous opportunities for Swedish companies and also guarantees our access to important raw materials and metals. It is now anticipated that our trade with Mercosur countries increases by between 70 and 90 percent”.
* With information from Lusa and Ansa
