The deal, which comes as Brussels seeks new markets to offset US tariffs and reduce reliance on China for critical minerals, will open free trade with four South American countries.
EU ambassadors have provisionally approved a significant free trade agreement with the Mercosur nations—Argentina, Brazil, Paraguay, and Uruguay—after 25 years of negotiations. The European Commission views this deal as essential for opening new markets and reducing dependency on China, despite opposition from France and Poland, concerned about impacts on local agriculture. The agreement aims to eliminate €4 billion in tariffs on EU exports and includes safeguards for sensitive agricultural imports. While Germany supports the deal, critics argue it threatens domestic farming and raises environmental concerns.
