The historic trade agreement between the European Union and Mercosur will be signed on January 17 in Paraguay. It will create the largest free trade zone in the world with more than 700 million people.
The trade agreement between the European Union and the South American Mercosur grouping, which the EU states approved on Friday, will be signed on January 17 in Paraguay. This was announced by Argentine Minister of Foreign Affairs Pablo Quirno, reports TASR with reference to the AFP agency.
- The EU and Mercosur will sign a trade agreement on January 17.
- They described the agreement as historically significant for both parties.
- It was supported by 21 EU countries, some states were against it.
“We will sign the most ambitious agreement between our two blocs on January 17 in Paraguay,” Quirno said on Platform X. He called the agreement historic.
Who signs the contract
The President of the European Commission (EC) Ursula von der Leyen, who is looking forward to the trip to Paraguay, will sign the document on behalf of the EU. “This historic trade agreement is further proof that Europe is going its own way and is a reliable partner,” said Von der Leyen.
The agreement was first supported on Friday in a so-called indicative vote by the Committee of Permanent Representatives (COREPER), made up of ambassadors of member states to the EU. Subsequently, the so-called written procedure took place. A qualified majority of states was required to approve the agreement. It was supported by 21 countries, opposed by representatives of France, Poland, Hungary, Austria and Ireland; Belgium abstained.
History of the agreement
The agreement with Mercosur was 25 years in the making. Its approval was expected last December, but the vote was postponed mainly due to the reservations of France and Italy.
Mercosur currently includes Argentina, Brazil, Paraguay, Uruguay and Bolivia. Venezuela’s membership has been suspended since 2017. Bolivia is not yet part of the agreement with the EU.
The largest trade zone
Mercosur was founded in 1991 and aims to promote regional integration through political, social and economic cooperation. According to the EC, the agreement with the Mercosur countries will create the largest free trade zone in the world, which will cover a market with more than 700 million consumers.
