EU and Mercosur Economic Ties Worth €538 Billion Highlighted, Amid Calls for Immediate Ratification

A joint statement by major European business associations has emphasized the importance of the EU-Mercosur agreement, highlighting its potential to bolster economic ties between the two blocs and mitigate the challenges posed by geopolitical instability and supply chain disruptions. The statement was addressed to the Presidents of the European Parliament, European Council, European Commission, Hungarian Presidency of the Council, and shared with the Mercosur Presidency.

In 2022, EU-Mercosur trade valued over €159 billion in goods and services, with mutual investments approaching €380 billion. The business associations hailed these economic ties as a rare opportunity to strengthen relations between the two sides, noting that an agreement would support economic recovery and lay foundations for sustained growth.

According to the statement, key benefits of the EU-Mercosur agreement include:

• Greater Market Access and Growth: Removal of trade barriers would enable steady flow of goods and services, boosting market access and driving growth.
• Supply Chain Stability: Strengthened trade relationships would mitigate supply chain disruptions, securing reliable access to essential resources.
• Enhanced Cooperation: The agreement could bolster sustainable development, labour rights, and environmental standards across both regions.

In a call to action, business associations urged policymakers to take immediate steps toward ratification, positioning the EU and Mercosur to advance their mutual competitiveness in a rapidly changing global landscape. By doing so, they can capitalize on the €538 billion economy that underpins millions of jobs on both continents.