EU envoys provisionally approve signing of record Mercosur trade deal

BRUSSELS, 9th January, 2026 (WAM) — EU ambassadors gave provisional approval on Friday to the signing of the bloc’s largest ever free trade accord with South American group Mercosur, over 25 years since negotiations began and after months of wrangling to secure key member states’ backing, according to three EU diplomats and sources.

The European Commission, which concluded negotiations a year ago, and countries such as Germany and Spain argue it is a vital part of an EU push to unlock new markets to offset business lost from US tariffs and to reduce reliance on China by securing access to critical minerals.

Opponents led by France, the European Union’s largest agricultural producer, say the agreement will jack up imports of cheap food products, including beef, poultry and sugar, undercutting domestic farmers.

Ambassadors from the EU’s 27 member states indicated their governments’ positions on Friday with at least 15 countries representing 65% of the bloc’s total population voting in favour, as required for approval, the EU sources and diplomats said. EU capitals have been given until 5 p.m. Brussels time (1600 GMT) to provide written confirmation of their votes.

This will clear the way for Commission President Ursula von der Leyen to sign the agreement with Mercosur partners – Argentina, Brazil, Paraguay and Uruguay – possibly as early as next week.