Trade The EU and Mercosur keep alive the dream of a trade agreement before 2024

This Thursday, Mercosur held a summit of decisions and tensions between its members, in addition to criticism of the European Union (EU) for the obstacles to closing the strategic association agreement between both blocks

Trade The EU and Mercosur keep alive the dream of a trade agreement before 2024

This Thursday, Mercosur held a summit of decisions and tensions between its members, in addition to criticism of the European Union (EU) for the obstacles to closing the strategic association agreement between both blocks. And despite everything, optimism was somewhat strengthened.

"In recent months, considerable progress has been made," a joint statement from the blocs noted at the end of the day. "Both parties hope to quickly reach an agreement that corresponds to the strategic nature of the ties that unite both parties and the crucial contribution they can offer to address global challenges in areas such as sustainable development, the reduction of inequalities and multilateralism », stated a text that keeps alive the dream of an agreement that, however, continues to seem very complicated.

It was the end of an intense Thursday. "I confess that it was a dream for me to close this agreement during my presidency and the presidency of my colleague Pedro Sánchez," said Brazilian President Luiz Inácio Lula da Silva, host of the Summit in Rio de Janeiro. «I believe that never before in the history of Mercosur have we spoken with so many people: with almost all the heads of state and government of the European Union, with almost all of their negotiators. There was no flexibility. “I appeal to [French President Emmanuel] Macron to stop being so protectionist,” he added.

Lula, who handed over the pro-tempore presidency of the bloc to his Paraguayan counterpart, Santiago Peña, at the Summit, revealed details of his negotiations with the EU and the response that came to him from Brussels. «It was unacceptable, they treated us as if we were inferior beings, colonized countries, with a great lack of respect. I told Pedro Sánchez that that tone and that letter were unacceptable. "I think the text we have now is more balanced," he said.

The strategic partnership agreement between Mercosur and the EU, which has been in negotiation for almost 24 years, was even on the verge of being finalized, but Macron stopped the signing by describing the agreed text as "outdated." And that brake from France, and also from Ireland, remains.

«It is a very important signal. "It is the first with Asia, one of the most dynamic regions in the world in terms of international trade," said the Uruguayan for his part before exposing his usual critical vision of the functioning of the bloc.

«I am very skeptical about the agreement with the EU, but I must recognize the great work of President Lula. You know that I had a recent state visit to China. And we insist on our desire for a free trade agreement. President Lula told me at the time 'we are going to hurry up with the EU and then we will go with China'. And President Xi Jinping said he is in favor of accelerating the agreement with Uruguay. But I believe that there is no will in Mercosur to advance free trade with China. We are going to move forward, says President Lula. Understand that we will advance first," he explained.

Although Lula will no longer be able to sign the agreement with the EU, there is still a possibility that it will be closed and that it will be Sánchez who does so as one of the representatives of Europe and Peña on behalf of Mercosur. "We are going to deploy a strategy to move forward as soon as possible" in signing the agreement, said Diana Mondino, Milei's foreign minister-designate, this week in Buenos Aires.