The trade agreement between the European Union and the Latin American countries of Mercosur will be applied provisionally from May 1, the European Commission announced Monday, despite protests from France and the agricultural sector.
“Provisional application will allow the immediate removal of certain customs duties,” Brussels underlined.
The European Parliament took legal action in January to verify the legality of this free trade treaty. But while awaiting the decision of the Court of Justice of the EU, within a year and a half, the European Commission has opted for a provisional application of this agreement, opposed by the agricultural sector and France, but favored by Germany and Spain.
More wine and cars to Latin America
This treaty should allow the EU to export more cars, machinery, wines and spirits to Argentina, Brazil, Paraguay and Uruguay, while making it easier for South American beef, poultry, sugar, rice, honey and soy to enter Europe.
For its supporters, it will help revive the European economy, suffering in the face of competition from China and customs duties from the United States.
For its detractors, it risks, on the contrary, shaking up European agriculture with cheaper imported products that do not necessarily comply with EU standards, due to a lack of sufficient controls.
The agreement will apply provisionally with Mercosur countries that have completed their ratification procedures and notified the EU before the end of March. “Argentina, Brazil and Uruguay have already done it. Paraguay recently ratified the agreement and should send its notification soon,” said the European Commission.
This agreement with Mercosur gave rise to a standoff between Berlin and Paris which left its mark within the European Union.
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