The Lisboeta

EU approves EU–Mercosur trade deal; president welcomes

Friday, 9 January 2026AI summary
EU approves EU–Mercosur trade deal; president welcomes

The Council of the European Union has approved the long‑running EU–Mercosur agreement after Italy lifted its veto, with signature planned for 17 January in Paraguay. President Marcelo welcomed the deal as historic, while reporting also notes farmer concerns and Brussels' estimate of large annual savings from lower tariffs. The approval means Portugal and exporters should watch for tariff changes and market shifts once the agreement begins to be implemented.

Context & Explainers

What is Mercosur?

Mercosur is the South American trade bloc (Southern Common Market) whose main founding members are Argentina, Brazil, Paraguay and Uruguay. An EU–Mercosur trade agreement — which the story says may be approved and signed soon — would reduce tariffs and open markets on both sides, affecting agricultural and industrial trade flows and therefore prices and business opportunities relevant to residents and companies in Portugal.

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