Factsheet: EU-Mercosur partnership agreement - Trade in services

Trade in services between EU and Mercosur

In 2023, trade in services between the EU and Mercosur countries amounted to €41.5 billion.

Opportunities under the EU-Mercosur Partnership Agreement (EMPA)

The EMPA will expand opportunities for EU and Mercosur services suppliers and ensure a more predictable trade environment, by building on existing international commitments.

It will:

• Provide service suppliers with stability and certainty, when accessing each other’s market.
• Guarantee that European service suppliers can establish an enterprise in Mercosur and supply most services on an equal footing with domestic and foreign suppliers.
• Ensure that EU service suppliers will not be required to have local presence (such as a branch) in Mercosur countries for certain sectors.
• Commit the EU and Mercosur to refrain from imposing quantitative restrictions in several sectors, including on the number of service suppliers, and the total value of service transactions.
• Improve regulatory conditions for services suppliers.

Finally, both the EU and Mercosur will ensure service suppliers can acquire the licenses or qualifications necessary to supply their services, through clear, fair, and timely processes.
 

EMPA will benefit services sectors

The agreement will facilitate the supply of services by EU enterprises to Mercosur in a range of sectors, such as:

• Financial (by allowing EU financial service providers in Mercosur to offer new services permitted under Mercosur laws, unless a reservation applies)
• Postal (by ensuring clear licensing rules, independent regulation and prevention of anti-competitive practices)
• Telecoms (by guaranteeing non-discriminatory procedures for the allocation of scarce resources in Mercosur, including radio frequency spectrum like 5G)
• Maritime transport (by granting EU shipping companies access to intra-Mercosur international maritime trade, previously restricted to Mercosur-based companies)
   

Movement of Natural Persons

The EMPA will facilitate cross-border movement, by allowing service suppliers of the following categories to temporarily enter both regions for business purposes:

• Intra-corporate transferees
• Graduate trainees
• Business visitors
• Business sellers
• Contractual service suppliers
• Independent professionals
   

E-commerce

The rapid expansion of the digital economy promises new opportunities for businesses and consumers. Digital trade makes up a growing share of the EU and Mercosur’s economy, providing immense opportunities for EU businesses and digital service suppliers. The EMPA facilitates digital trade, whilst ensuring trust and protection of people’s rights and interests.

The provisions on E-commerce included in the agreement will:

• Facilitate trade through digital means, by promoting the use of electronic contracts, signatures and authentication.
• Remove barriers to cross-border digital trade by prohibiting the imposition of customs duties on electronic transmissions and banning prior authorisations for online services.
• Promote trust in the digital economy by protecting the rights of businesses and consumers through rules addressing online consumer protection and unsolicited commercial electronic messages.
• Create a platform for cooperation in regulatory issues in digital trade.