Brazilian President Luiz Inácio Lula da Silva said Saturday he is optimistic that the long-delayed free trade agreement between Mercosur and the European Union could be signed in January, despite mounting opposition from some European countries and protests by farmers across the continent.
European Union leaders had initially planned to finalize the agreement during a visit to Brazil this weekend. However, European Commission President Ursula von der Leyen said Friday that the signing would be postponed by several weeks following a tense EU summit, citing the need to resolve outstanding concerns raised by member states.
Speaking to fellow South American leaders at a Mercosur summit in Foz do Iguacu — near Brazil’s border with Argentina and Paraguay — Lula said European negotiators had previously indicated the deal would be signed, prompting the meeting. He said the delay came after Italian Prime Minister Giorgia Meloni requested additional time.
Von der Leyen must secure the support of at least two-thirds of EU member states to move forward. Italy’s opposition could give France enough backing to block the agreement.
Lula said he spoke with Meloni by phone on Friday and received a letter from EU leaders expressing their intention to conclude the deal in January. He stressed that political determination is essential to complete negotiations that have stretched on for more than 26 years.
“Without leadership and courage, it’s impossible to finalize a negotiation that has lasted so long,” Lula told the summit, adding that Mercosur would continue pursuing partnerships elsewhere if delays persist.
If completed, the agreement would create a free trade zone covering about 780 million people and roughly one-quarter of global GDP, gradually eliminating tariffs on most goods exchanged between the two blocs.
Canada, U.S. to Begin Formal Review of Free Trade Agreement in Mid-January
France has been at the forefront of resistance to the deal involving Mercosur members Brazil, Argentina, Uruguay, Paraguay and Bolivia. French President Emmanuel Macron said this week he could not yet commit to supporting the agreement and noted ongoing talks with leaders from Italy, Poland, Belgium, Austria and Ireland to address farmers’ concerns.
Lula countered that no single leader can derail the pact and expressed hope that the deal would move forward in the interest of Mercosur, multilateral cooperation and economic development.
Source: AP