EU-Mercosur Agreement: Coalition of Business Associations Urges Policymakers to Ratify Historic Deal

Brussels, March 2023 - A joint statement from leading business associations has been addressed to the Presidents of the European Parliament, European Council, European Commission, and Hungarian Presidency of the Council, as well as shared with the Mercosur Presidency, calling for immediate action on the EU-Mercosur agreement.

The agreement, which aims to strengthen economic ties between the European Union and Mercosur, has facilitated over €159 billion in goods and services trade between the two regions last year, with mutual investments totalling approximately €380 billion. This significant partnership underpins millions of jobs across both continents and is expected to drive sustained growth.

In a statement, the coalition of business associations highlighted that the EU-Mercosur agreement offers several key benefits, including:

• Market Access and Growth: The removal of trade barriers will create greater market access for businesses, facilitating a steady flow of goods and services.
• Supply Chain Stability: Strengthened trade relationships will mitigate supply chain disruptions, ensuring reliable access to essential resources.

The associations emphasized that the agreement represents a unique opportunity to promote economic recovery and sustainable growth on both sides of the Atlantic. By deepening cooperation, the EU-Mercosur partnership aims to bolster sustainable development, improve labour rights, and support environmental standards across both regions.

In response, the business coalition is urging policymakers to take immediate action towards ratifying the agreement, positioning the EU and Mercosur for long-term mutual competitiveness in a rapidly changing global landscape. By working together, the partners can unlock new opportunities for growth, investment, and collaboration, ultimately benefiting millions of people across both continents.

EU Trade Commissioner's Office has welcomed the joint statement from business associations, stressing that the agreement has the potential to play a crucial role in promoting economic recovery and supporting sustainable development. The office stated that it is committed to working closely with all stakeholders to ensure a swift ratification process.

The EU-Mercosur agreement, which was signed in 2019, will now move forward for ratification by all parties involved. As negotiations close in on the finishing line, key decision-makers will need to work together to ensure that this important partnership comes into force at the earliest opportunity.