The implementation of the trade agreement between Mercosur and the European Union will aim to reduce inequalities and increase prosperity. This expectation was shared this Friday (16) by President Luiz Inácio Lula da Silva and the President of the European Commission, Ursula von der Leyen, in Rio de Janeiro.
The two met at the headquarters of the Ministry of Foreign Affairs in the capital of Rio de Janeiro to discuss the agreement between the blocs, which will create one of the largest trade areas in the world, where approximately 720 million people live. The European Union’s approval of the agreement was announced last week, after more than 25 years of negotiations.
Lula highlighted that “trade liberalization and openness only make sense if they are capable of promoting sustainable development and reducing inequalities”he said, remembering that trade and investment result in new jobs and opportunities.
“Political dialogue and cooperation will guarantee high standards of respect for labor rights and the defense of the environment,” said Lula.
The Brazilian president also reiterated commitments to the environment, combating climate change, gender equality and the rights of indigenous peoples and workers.
>> Understand the Mercosur–EU agreement in 13 points
Added value
Lula added that, unlike in the past, Brazil will not restrict itself to the supply of commodities – in particular, agricultural products – for the European Union.
“We will not limit ourselves to the eternal role of exporter of commodities. We want to produce and sell industrial goods with higher added value”, he said, highlighting that the agreement provides incentives for investments by European companies in Mercosur, which includes strategic value chains for energy transition and digital transmission.
The President of the Republic, Luiz Inácio Lula da Silva, receives the President of the European Commission (EC), Ursula von der Leyen, for a meeting at the Itamaraty Palace before the signing of the Mercosur – European Union agreement. Photo: Tânia Rêgo/Agência Brasil
“The best is yet to come”
Head of the European Union’s executive branch, Ursula von der Leyen said that all members of the blocks should benefit from new jobs, and many opportunities will arise for the business sector on both sides.
“I know that, among our regions and our people, the best is yet to come,” she said at the beginning of her speech.
“This is how we create true prosperity, which is shared prosperity. We agree that international trade is not a zero-zero game”, he argued.
Ursula said that the signing of the agreement, which will be made official on Saturday (17), in Paraguay, is just the first step of something very positive that is to come.
“The whole story will only be told successfully when companies begin to feel the benefits of our agreement. Something that should happen quickly,” he said.
She stated that the agreement will multiply opportunities, with clear and predictable rules; and with standards and supply chains that, according to her, “will serve as highways for investment”.
The president of the European Commission (EC), Ursula von der Leyen, during a meeting with the President of the Republic, Luiz Inácio Lula da Silva, for a meeting at the Itamaraty Palace before the signing of the Mercosur – European Union agreement. Photo: Tânia Rêgo/Agência Brasil
Thanks and praise
“This agreement that has now been concluded is the achievement of an entire generation,” added the European head, thanking Lula for his efforts to consolidate the agreement.
“The political leadership, personal commitment and passion that you have shown in recent weeks and months, my dear President Lula, have been truly enormous,” he added while praising the Brazilian president’s direction during the negotiations.
