South America’s Mercosur trade bloc is set to meet in Uruguay on Thursday, with a chance they could announce a long-delayed trade deal with the European Union. Last-minute negotiations are ongoing to finalize the agreement.
The deal, backed by most South American countries and strongly supported by Germany and Spain, faces resistance from France. French leaders worry that increased agricultural imports could harm their powerful farming sector.
Negotiators from all sides met in Brazil last week, according to senior diplomatic and government sources. Virtual talks have continued this week, and there are plans for delegations to travel to Montevideo if they reach an agreement.
European Commission President Ursula von der Leyen might attend the Dec. 5-6 summit in Uruguay’s capital, two European sources revealed. One source noted that she has even reserved a plane ticket, although most officials caution that no deal is expected to be signed yet.
“The last round of negotiations ended with important progress,” said Mauricio Lyrio, secretary of economic affairs at Brazil’s foreign ministry. “We’re hopeful. Pending issues are being submitted to the leaders to be finalized.”
The outcome remains uncertain, but the involved parties appear committed to pushing the deal forward.
