The EU and the Mercosur bloc, which includes Argentina, Brazil, Paraguay and Uruguay, signed a Partnership Agreement and an Interim Trade Agreement in January 2026 after 25 years of talks. The interim deal, covering tariff cuts, services, investment and public procurement, has applied provisionally since May 1, 2026. It still requires European Parliament consent to enter fully into force, but that process is suspended pending an EU Court of Justice opinion. The broader partnership agreement also covers political dialogue and cooperation and requires ratification by all EU member states.
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