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The European Union and Mercosur states – Argentina, Brazil Paraguay and Uruguay – reached a political agreement on 28 June 2019 for an ambitious, balanced and comprehensive trade agreement.
The EU is Mercosur's number one trade and investment partner. EU exports to Mercosur were €45 billion in goods in 2021 and €17 billion in services in 2020.
The EU is the biggest foreign investor in Mercosur with a stock of €330 billion in 2020. While the relationship is very substantial both exporters and potential investors face barriers in Mercosur markets.
The goal of the new EU-Mercosur trade deal is to
- Increase bilateral trade and investment, and lower tariff and non-tariff trade barriers, notably for small and medium sized enterprises
- Create more stable and predictable rules for trade and investment through better and stronger rules, e.g. in the area of intellectual property rights (including geographical indications), food safety standards, competition and good regulatory practices
- Promote joint values such as sustainable development, by strengthening worker’s rights, fight climate change, increase environmental protection, encourage companies to act responsibly, and uphold high food safety standards
The agreement represents a win-win for both the EU and Mercosur, creating opportunities for growth, jobs and sustainable development on both sides.
EU-Mercosur Trade in your town
The EU and Mercosur are engaged in constructive discussions with a view to finalising the pending issues within the Association Agreement.
Joint communiqué of the European Union and Mercosur.