EU–Mercosur Trade Deal Set for Provisional Start on May 1 After Commission’s Final Step

Overview

• The European Commission sent the formal note to Paraguay, the Mercosur treaty depositary, completing the EU step needed to trigger provisional application.
• Provisional application will cover the EU and Mercosur countries that finish ratification and notification by the end of March, with Argentina, Brazil and Uruguay already cleared.
• Paraguay has completed its internal approval and is expected to file its notification shortly to join the initial phase.
• From day one, selected import tariffs will be reduced or eliminated and clearer rules will govern trade and investment between the blocs.
• The agreement adds cooperation on labor and climate, aims to reinforce supply chains with safeguards for sensitive sectors, and EU trade chief Maroš Šefčovič says the focus now is delivering concrete gains for exporters.