However, France plans to continue its fight against the deal in the European Parliament.
On Friday, a qualified majority of EU member states backed the Mercosur agreement, ending more than two decades of difficult negotiations between the European Commission and a group of Latin American countries – Argentina, Brazil, Paraguay and Uruguay – as well as years of internal divisions within the EU.
France, Poland, Austria, Hungary, Hungary, Ireland voted against it, and Belgium abstained, Euronews noted. The decision was a blow to France’s efforts to rally a blocking minority.
The backing came after member states adopted safeguard measures allowing tighter control of the EU market to prevent major disruptions due to imports from Mercosur countries.
The agreement will create a free trade area of more than 700 million people. European companies will have access to a market of 280 million consumers in Latin America, where some 30,000 EU companies already operate.
Countries supporting the agreement, led by Germany and Spain, have long argued that it will open access to new markets. And opponents of the agreement, led by France, warn that it will expose EU farmers to unfair competition from Latin American imports.
The deal has been opposed by EU farmers. Although duties on most goods will be phased out once the agreement takes effect, quotas will remain in place to protect competition-sensitive agricultural products such as beef, poultry and sugar.
Several member countries have resisted the agreement for years. In 2019, the draft text was blocked by several governments, with France leading the opposition due to environmental and agricultural concerns.
In recent months, the European Commission has made new concessions aimed at appeasing farmers and securing crucial support for Italy, including early access to €45 billion of Common Agricultural Policy funds from 2028 and a freeze on the EU border tax on carbon fertilizer.
To address environmental concerns, negotiators also made compliance with the 2016 Paris climate agreement an “essential element” of the deal. This will allow for partial or full suspension in the event of a breach of commitments.
However, on Thursday night, President Emmanuel Macron announced on the X network that France would vote against the agreement.
Friday’s vote paves the way for the EU to sign the agreement. However, the procedure requires the consent of the European Parliament. French opponents are now pinning their hopes on blocking the deal in parliament.
