Although negotiations on the partnership treaty have been finalized, the signature has not yet taken place, as the documents need to undergo legal review and translation, with no set deadline for completing these procedures.
Today, December 6, 2024, in Montevideo, the leaders of and the announced the completion of negotiations on the Partnership Agreement between the two blocs. This milestone ends a process that lasted approximately 25 years. However, the signing of the Agreement has not yet taken place, as the documents need to undergo legal review and translation, with no set deadline for completing these procedures.
The next steps towards formalizing the Agreement include the legal review of the texts, translation into the official languages of the countries involved and, subsequently, the signing of the document. After this stage, each party must carry out internal approval processes, and in Brazil, the Agreement will be submitted to the National Congress for ratification and entry into force.
The announcement made in 2024 represents the true conclusion of the negotiations, unlike what happened in 2019, when a “political agreement” was announced that did not result in the finalization of the negotiations. Between 2019 and 2024, there were new rounds of negotiations that resulted in adjustments to the texts and the resolution of outstanding issues.
The Partnership Agreement brings innovative commitments that aim to promote trade and sustainable development, in addition to establishing mechanisms to rebalance concessions between countries. Brazil, in turn, committed itself to ensuring that civil society has an active role in monitoring the impacts generated by the Agreement, promoting transparency and inclusion.
The strategic relevance of this Agreement is significant, as it unites two of the largest economic blocs on the planet, covering around 718 million people and a GDP of around US$22 trillion. Considered the largest bilateral free trade agreement in the world, it also represents a commitment to democracy, multilateralism and human rights.
For Brazil, the expectation is that the Agreement will contribute to diversifying its commercial partnerships, modernizing the industry and deepening economic integration between Mercosur countries. It is important to highlight that Bolivia, although it is part of Mercosur, is not yet included in the Agreement, as it must first adopt the bloc’s regulatory framework in order to join.
President Luiz Inácio Lula da Silva was optimistic about the completion of negotiations.” After two years of intense negotiations, today we have a modern and balanced text, which recognizes Mercosur’s environmental credentials and reinforces our commitment to the Paris Agreements,” he declared during the South American bloc’s summit in Montevideo.
Furthermore, Uruguayan President Luis Lacalle Pou, whose country holds the pro tempore presidency of Mercosur, defined the agreement as “an opportunity”, not just a commercial one. “It is very important that the world opens up to us”, he stated.
*Report produced with the help of AI
Posted by Victor Oliveira
