Lula threatens to abandon EU-Mercosur trade deal

Brazilian President Lula da Silva threatens to abandon Mercosur-EU trade deal after Italy and France express delays, potentially jeopardizing the agreement that would create the world’s largest free-trade area. Despite strong backing from Germany, Spain, and Nordic countries, concerns over agricultural safeguards have led to opposition from France, Italy, Hungary, and Poland. The EU reached a provisional agreement on tighter controls for farm product imports to address some worries, with EU leaders set to discuss the issue at a Brussels summit. President Lula warns that if the deal is not finalized now, Brazil will not engage in further agreements during his presidency.

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