The European Union must resume talks on a trade agreement with Mercosur, said the head of the European Commission (EC) Ursula von der Leyen. She also presented a new EU plan to build a green industry.
EU and Mercosur, of which they are part ArgentinaBrazil, Paraguay and Uruguay, agreed in June 2019, after 20 years of talks, to create a free trade area for 700 million people.
However, the agreement was not ratified due to concerns, especially in France and the European Parliament, against the deforestation of the Amazon and skepticism about the efforts at the time Brazil for the fight against climate change – notes Reuters.
The head of the European Commission wants cooperation in Mercosur
The EU is Mercosur’s second largest trading partner in goods after China, accounting for 16.2 percent. total trade of the bloc in 2021. Mercosur, on the other hand, is the 11th trading partner for the EU in goods.
In 2021, EU exports to the four Mercosur countries amounted to €45 billion, while Mercosur exports to the EU amounted to €43 billion.
Mercosur’s largest exports to the EU in 2021 were mineral products (22.3% of total exports), plant products including soybeans and coffee (20.7%), and foodstuffs, beverages and tobacco (19.1% of total exports). )
EU exports to Mercosur include machinery and equipment (27.8% of total exports), chemicals and pharmaceuticals (26.3%), transport equipment (10.5%).
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