Brazil Advances Mercosur-EU Trade Agreement as EU Eyes Provisional Implementation
Brazil's Mercosur Parliament approved the EU trade agreement, with provisional EU implementation anticipated after one Mercosur country ratifies it.
- • Brazil's Mercosur Parliament approved the Mercosur-EU trade agreement after 25 years of negotiations.
- • The agreement now proceeds to Brazil's National Congress and Senate for approval.
- • Some deputies expressed concerns about the impact on specific economic sectors.
- • The EU is willing to provisionally implement the agreement once a Mercosur country ratifies it, despite political risks.
Key details
On February 24, 2026, Brazil's representation in the Mercosur Parliament (Parlasul) approved the Legislative Decree Project 41/26, which encompasses the Mercosur-European Union trade agreement signed in January after over 25 years of negotiations. This approval sets the stage for the agreement to be analyzed by Brazil's National Congress and subsequently voted on by the Senate. Deputy Arlindo Chinaglia (PT-SP), who led the approval, highlighted the agreement as the beginning of a new phase of cooperation between Mercosur and the EU, which together represent 718 million people and a combined GDP of approximately $22.4 trillion.
Despite enthusiasm, some deputies expressed concern about the impact of increased trade liberalization on specific Brazilian economic sectors, urging protective measures for domestic industries. Neighboring Mercosur countries Uruguay and Argentina are also moving forward with internal evaluations, with Argentina having advanced the treaty from its Chamber of Deputies to the Senate.
Meanwhile, within the European Union, there is a strong willingness from the European Commission to implement the agreement provisionally once at least one Mercosur country ratifies it. Although this move carries political risks for European Commission President Ursula von der Leyen, it offers a way to bypass lengthy court proceedings initiated by the European Parliament that could delay the treaty by up to two years. This bilateral provisional enforcement mechanism allows the treaty's terms to take effect between Brazil and the EU without requiring full ratification by all Mercosur members immediately.
Brazilian federal officials conveyed confidence that the EU will proceed with provisional implementation shortly after Brazil's National Congress ratifies the agreement. The Chamber of Deputies is expected to review the treaty soon, following its Parlasul endorsement, bringing the trade deal closer to becoming operational.
This article was translated and synthesized from Brazilian sources, providing English-speaking readers with local perspectives.
Source articles (2)
Source comparison
Approval process for the agreement
Sources report different stages of the agreement's approval process in Brazil
cnnbrasil.com.br
"The Chamber is preparing to vote on the treaty after its approval by Parlasul."
camara.leg.br
"The Brazilian representation in the Parliament of Mercosur (Parlasul) approved the Legislative Decree Project 41/26."
Why this matters: One source states the agreement is awaiting approval from the National Congress, while the other indicates it has already been approved by Parlasul and is moving to the Chamber of Deputies. This discrepancy affects understanding of how close the agreement is to being finalized in Brazil.