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The European Commission has formally proposed the signature and conclusion of two landmark trade deals: the EU-Mercosur Partnership Agreement (EMPA) and the EU-Mexico Modernised Global Agreement (MGA). These agreements are central to the EU’s strategy to diversify trade relations, strengthen supply chains and secure reliable access to critical raw materials.

The EU-Mercosur deal with Argentina, Brazil, Paraguay and Uruguay would create the world’s largest free trade area, covering more than 700 million consumers. It is expected to boost EU exports to Mercosur by up to 39% (€49 billion annually), supporting over 440,000 jobs. The agreement cuts high tariffs on EU industrial goods and agri-food products, while safeguarding sensitive EU farming sectors with quotas, safeguards and full protection for 344 Geographical Indications.

The EU-Mexico agreement updates a 25-year-old trade framework and will eliminate the remaining prohibitive tariffs on EU exports, including on cheese, pork, pasta, chocolate and wine, while expanding protection to 568 EU Geographical Indications. It will also improve access to Mexican raw materials vital for European industries, including fluorspar, bismuth and antimony.

Both agreements go beyond trade, reinforcing cooperation on sustainable development, migration, organised crime and human rights, while fostering closer political and economic ties with strategic partners.

Commission President Ursula von der Leyen underlined the significance: “Our agreements with Mercosur and Mexico are important milestones for the EU’s economic future. We are diversifying our trade, fostering new partnerships and creating business opportunities for EU companies and farmers alike.”

CLECAT follows the proceedings on these trade agreements closely and will continue to keep its members regularly informed of the developments and their potential impact on European freight forwarders, logistics service providers and customs representatives.

Source: European Commission