A qualified majority of European Union countries has approved the long-awaited trade deal with the South American Mercosur bloc, clearing a major political hurdle after 25 years of negotiations.
The vote took place on Friday and was later formalized through a written procedure backed by the same majority of EU capitals. France, Poland, Austria, Ireland and Hungary opposed the deal, while Belgium abstained. Italy supported it after forcing a delay the previous month. That combination was enough to give the accord the political clearance it needed inside the Council system.
The agreement is expected to create the world’s largest free-trade area, covering about 700 million people across the EU and Mercosur countries. For Brussels, that makes the deal both an economic and strategic prize. The bloc is seeking to deepen ties with Latin America at a time when global trade is under stress and competition for influence is increasing. EU officials also see the pact as a way to offer greater predictability in a period when tariff disputes and geopolitical uncertainty are shaping supply chains.
European Commission President Ursula von der Leyen welcomed the approval, saying partnership and openness drive progress. She also indicated that signature could come soon in Paraguay, though she did not commit to a precise date. That means the political deal is moving forward, but it is not yet fully complete. After signature, the text will still need to be voted on by the European Parliament, and some sections that go beyond trade policy will also require approval in national parliaments.
Farm policy remained central to the final compromise. To help win support, EU countries approved additional safeguards that could be triggered if imports from Brazil, Argentina, Paraguay and Uruguay surge. Von der Leyen said the bloc had heard farmers’ concerns and acted on them. The package also includes billions of euros in extra support for farmers worried about cheaper imports from South America.
That balancing act explains why the deal has been so difficult to complete. The Mercosur agreement has been under negotiation for a quarter of a century and has repeatedly run into political resistance inside Europe, especially from governments and farm groups worried about competition. The latest breakthrough shows that the Commission and supporting capitals were prepared to accept a more guarded version of the pact rather than let it stall again.
The deal also has a geopolitical meaning beyond tariffs and quotas. Brussels views it as a way to strengthen Europe’s presence in Latin America as China expands its trade footprint and the United States under President Donald Trump pushes more tariffs worldwide. In that sense, the agreement is not only about agricultural exports, machinery or aviation; it is about where Europe fits in the changing global trading order.
If the remaining institutional steps go smoothly, the agreement could eventually open a much larger market for European carmakers, machine builders, aviation firms and exporters of wine and cheese. But the path from political approval to implementation still runs through several more votes and the possibility of further opposition.
For now, the key fact is that the EU has finally crossed the main internal hurdle. After decades of talks, the Mercosur deal has moved from a diplomatic ambition to a concrete, if still incomplete, trade agreement.
