Lula Urges EU Political Courage as EU-Mercosul Trade Deal Faces Delays
Brazilian President Lula calls on the EU for political will to finalize the prolonged EU-Mercosul trade deal amid opposition from Italy and France, with a possible signing in January 2026.
- • Trade agreement signing delayed due to EU member states' concerns, especially Italy and France.
- • European farmers protest potential influx of cheaper South American agricultural imports.
- • Lula criticizes the EU's lack of political courage after 26 years of negotiations.
- • If signed, the deal would cover 780 million people and eliminate tariffs on most traded goods.
Key details
Brazilian President Luiz Inácio Lula da Silva has called on European Union leaders for "political courage" to finalize the long-delayed EU-Mercosul free trade agreement, anticipated to be signed in January 2026. The deal's signature has been postponed amid concerns from EU member states, particularly Italy and France, resulting from protests by European farmers worried about the influx of cheaper South American agricultural products.
During a summit in Foz do Iguaçu, Lula expressed frustration that the meeting proceeded under the assumption that the deal would be signed, despite Italian Prime Minister Giorgia Meloni requesting more time to address outstanding issues. European Commission President Ursula von der Leyen stated that approval requires support from at least two-thirds of EU countries, and Italy's hesitation risks enabling opposition from France, which has already declared it will not back the agreement next month, citing agricultural concerns.
Lula criticized the EU's "lack of courage" after 26 years of negotiations and warned that without political will the deal may never conclude. He highlighted strong international interest in Mercosul, suggesting alternative agreements might ensue if the EU does not proceed.
The agreement aims to open a market of 780 million people by eliminating tariffs on most goods traded between Mercosul and the EU. This would benefit European exports of vehicles and machinery while easing entry for South American products such as meat and soy into Europe. Despite the protracted discussions and political obstacles, Lula remains hopeful for a breakthrough in January 2026.
This article was synthesized and translated from native language sources to provide English-speaking readers with local perspectives.