Overview
- EU ambassadors approved the agreement by qualified majority on January 9, with France, Ireland, Poland, Hungary and Austria opposed and Italy’s switch proving decisive.
- The European Commission plans to sign the pact in Paraguay on January 17, moving the process from council clearance to formal signature.
- The accord would scrap or sharply cut tariffs on most trade between the EU and Mercosur, with the Commission estimating EU exports could rise by up to 39 percent.
- Concessions include agricultural safeguard clauses enabling temporary reimposition of duties if imports surge or prices collapse, following weeks of pressure from farm lobbies.
- Farmer protests continued across Europe, including thousands rallying in Ireland on January 10, while the treaty still requires approval by the European Parliament and could face court review requests that risk delays.