European Parliament to vote on mounting legal challenge to Mercosur deal
EU lawmakers will vote this morning on whether to ask the bloc’s top court to review the European Union’s newly signed free trade agreement with South America’s Mercosur, a move that could delay the pact by about two years and potentially derail it. The parliamentary vote is scheduled for 11:30 a.m.
The EU finalized its largest-ever trade pact last weekend with Mercosur members Argentina, Brazil, Paraguay and Uruguay. The agreement still requires approval before it can take effect, setting off a fresh political fight over trade, agriculture and Europe’s strategic ties with the Global South.
- Advertisement -
Opposition led by France — the EU’s largest agricultural producer — argues the deal would sharply increase imports of cheaper beef, sugar and poultry, undercutting domestic farmers. Ireland, France, Austria, Hungary and Poland have voted against the agreement, and thousands of farmers in each of those countries have protested in recent weeks, turning the pact into a flashpoint for rural anger over competition and prices.
Supporters, including Germany and Spain, say the EU-Mercosur deal is vital to stabilize European trade policy after years of disruption to global commerce. They argue it would help offset business lost to U.S. tariffs and reduce reliance on China by securing access to critical minerals. Backers also warn that Mercosur governments are losing patience after years of negotiations and could pivot elsewhere if Europe stalls yet again.
A referral to the EU’s top court would introduce a significant delay. The court typically takes around two years to deliver opinions, and while the EU could still provisionally apply the deal pending a ruling and parliamentary approval, doing so could be politically difficult given likely backlash. The European Parliament would retain the power to annul provisional application later.
The stakes are substantial. Together, the EU and Mercosur account for roughly 30% of global GDP. The treaty would eliminate tariffs on more than 90% of bilateral trade, boosting European exports of cars, wine and cheese, while easing entry for South American beef, poultry, sugar, rice, honey and soybeans into the EU market. The prospect of agricultural imports arriving at lower prices has become a central fault line between governments prioritizing industrial and strategic gains and those seeking to shield domestic farmers.
How lawmakers vote today will determine the immediate path. A decision to seek a court opinion would push the timeline into the next political cycle and complicate efforts to provisionally apply the agreement. A rejection would allow ratification debates to proceed, though the political headwinds remain strong. Either way, the outcome will signal how Europe balances internal economic pressures with the imperatives of trade diversification and geopolitical competition.
The deal’s supporters insist the agreement is a necessary hedge in an era of tariff shocks and supply-chain volatility, positioning the EU to deepen ties with a vast market while broadening access to raw materials. Opponents counter that the costs — borne disproportionately by farmers — outweigh the benefits, and they question whether promised safeguards can withstand real-world pressure once tariff barriers fall.
For now, the question is procedural but decisive: whether the EU presses ahead with a politically contentious provisional rollout or pauses for legal clarity that could stretch for years. The answer will shape Europe’s trade posture in the Americas and test the bloc’s ability to navigate competing economic and social priorities at home.
By Abdiwahab Ahmed
Axadle Times international–Monitoring.