The European Union (EU) is pushing to finalize a trade agreement with the South American Mercosur bloc by the end of 2024, EU Commissioner for Crisis Management Janez Lenarcic revealed last week. Despite ongoing negotiations, Lenarcic acknowledged that differences remain, particularly regarding a new EU law banning imports of products tied to deforestation, a contentious issue for Mercosur members, especially Brazil.
While Lenarcic himself isn’t directly involved in the talks, he noted that the deforestation law—which has faced resistance from agricultural exporters like Brazil—will not be altered, though its enforcement could be delayed until December 2025 following pressure from EU member states. The EU is listening to calls for a delay, Lenarcic said, but the core regulation remains firm.
“First of all, the European Union wants this agreement, let me be very clear about that,” Lenarcic stated during a Friday interview at the G20 summit in Brazil. He expressed optimism about resolving the remaining obstacles by the year’s end.
The trade pact with Mercosur—comprising Brazil, Argentina, Uruguay, Paraguay, and recently Bolivia—has been under negotiation for roughly 25 years, reaching a preliminary agreement in 2019. However, it stalled amid EU demands for stronger environmental protections.
Negotiators from both sides are expected to hold an online meeting shortly, with in-person talks planned for late November. According to Brazil’s foreign ministry, officials are aiming for an agreement ahead of Mercosur’s upcoming December meeting in Uruguay.
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