EU and Mercosur Trade Ties Underlined as Key to Mitigating Global Economic Uncertainties

Brussels, Belgium - A coalition of business associations recently released a joint statement, urging policymakers to take immediate action towards ratification of the EU-Mercosur agreement, citing its potential benefits in shaping the continent's economic future.

The statement, directed at the Presidents of the European Parliament, European Council, European Commission, and Hungarian Presidency of the Council, as well as shared with the Mercosur Presidency, emphasized that the trade pact between the European Union (EU) and Mercosur has facilitated substantial economic ties in 2022, with a total value exceeding €159 billion. Additionally, mutual investments totaling approximately €380 billion underscored the importance of these relations.

"By strengthening EU-Mercosur ties, both regions can reap significant benefits," said the joint statement, citing reduced trade barriers as key to increased market access and economic growth for both parties. Furthermore, strengthened relationships were highlighted to mitigate supply chain disruptions, securing reliable access to essential resources.

The statement noted that deeper cooperation under the agreement could bolster sustainable development, labour rights, and environmental standards across both regions. Notably, the partnership is seen as an exemplary model of how two continents can collaborate on policies supporting economic recovery and long-term growth.

As a vital component to navigating an increasing complex global environment marked by instability, the business associations called upon policymakers to take swift action in ratifying the agreement, potentially positioning the EU and Mercosur for improved competitiveness.