EU lawmakers vote to delay Mercosur trade pact over legal concerns
Majority back motion to seek legal opinion on deal from European Court of Justice
EU lawmakers have voted to postpone the ratification of a trade deal with the Mercosur group of South American economies by seeking a legal opinion from the bloc’s highest court.
It could take up to two years to obtain the European Court of Justice ruling, adding a further delay to an agreement with Mercosur that took 25 years to negotiate.
The European Commission, the bloc’s executive that runs trade policy, could provisionally apply the deal, already agreed by member states, pending the judgment.
But many European parliamentarians said they would oppose such a move as undemocratic without parliament’s permission. Parliamentarians voted 334 to 324 for the motion to turn to the ECJ, with 11 abstentions, as far-right politicians teamed up with the far left and Greens.
Mercosur includes Brazil, Argentina, Uruguay and Paraguay, and the deal would remove almost all tariffs in a market of 700mn consumers.
Total goods exchanged between the EU and Mercosur reached €111bn in 2024.
The accord has long faced opposition from European farmers, who argue they cannot compete with cheap imports made to lower standards.
Thousands of farmers demonstrated outside the parliament in Strasbourg on Wednesday and they greeted the news about the ECJ with the honking of tractor horns and loud dance music.
A Commission spokesperson said it “regrets the decision”. The Commission argues there are strong safeguards to prevent a surge in imports to the EU or a sharp fall in prices in sensitive sectors including beef, chicken and sugar.
“The Mercosur deal is essential if we want to have a more sovereign Europe,” António Costa, president of the European Council, told MEPs just before the vote, adding that annual quotas for imports of beef were just 1.5 per cent of total EU demand.
Ursula von der Leyen, Commission president, said the deal was vital to forge stronger links with Latin America.
“I believe this is a deal that will bring benefits across our economy, across every member state. And that it can shield Europe from the risks it faces — ensuring our prosperity and our security at the same time,” she told parliament.
But Saskia Bricmont, a Green MEP who voted for the motion, said the deal would lead to more clearing of the Amazon and the erosion of animal rights.
Some MEPs claimed those who voted for the court referral were simply interested in sabotaging the deal.
“It’s a stalling tactic,” said Kathleen Van Brempt, vice-president of the centre-left Socialists and Democrats.