Mercosur and the European Union today expressed their willingness to accelerate negotiations and close the trade agreement they have been seeking for more than two decades, which is currently under study, according to the Brazilian Vice-President, Geraldo Alckmin, and the Executive Vice-President of the European Commission, Margrethe Vestager.
Alckmin and Vestager met this Friday in Brasilia to discuss the multilateral agreement between Mercosur (a bloc formed by Argentina, Brazil, Paraguay, and Uruguay) and the European Union, in addition to discussing relations between Brazil and the European bloc.
Alckmin pointed out that the European Union is Brazil’s world’s largest investor and intends to strengthen this partnership as he understands that the Europeans share values and principles, such as sustainable, inclusive, and stable development.
Negotiations between Mercosur and the European Union countries began in 1999 but only advanced in 2019 after concluding negotiations on trade issues and political and cooperation aspects.
According to Vestager, the conclusion of the agreement between the two blocs is a priority for the European Commission.
“For us, finalizing the negotiations of the Mercosur-EU agreement is an absolute priority. It is a critical moment to accelerate the finalization, and this is the time to make things happen,” said the European Commission envoy.
The executive vice president also said that 50 percent of foreign direct investment in Brazil is of European origin.
She is proud to see the number of companies operating in the country from the continent.
“We hope to develop strategic partnerships, including sustainable mining. We will leave behind the old mining, in which there was a frank and clear exploration of nature and people, particularly moving and taking raw materials from the exploited sites.”
“Now we will seek a much more appropriate balance, in which the distribution of the added value obtained is done more appropriately and fairly,” he commented.
In this context, Alckmin highlighted the Brazilian government’s efforts to put the country “in the fight against climate change, ending illegal deforestation, energy transition, decarbonization, and green hydrogen”.
For the full picture, see our Mercosur EU Trade Deal: Complete Guide.