Controversial EU free trade pact signed despite farmer outrage

Agriculturalists have protested the deal with South America’s Mercosur bloc, fearing it could boost imports of cheaper food

The EU and the South American economic bloc Mercosur sealed a free trade agreement on Saturday, pushing ahead with the deal despite protests by EU farmers worried about cheap imports and opposition from several member states.

European Commission President Ursula von der Leyen has described the deal with the bloc, which includes Argentina, Brazil, Paraguay, and Uruguay, as a “clear and deliberate choice,” highlighting that the EU “choose fair trade over tariffs,” opting for “a productive long-term partnership over isolation.”

The trade pact comes six months after von der Leyen signed an agreement with US President Donald Trump that imposed a 15% tariff on most EU exports to the bloc’s transatlantic partner.

Earlier this month, Trump pledged to impose additional levies on eight European NATO nations that oppose his plans to acquire Greenland. A 10% levy is expected to take effect on February 1 and rise to 25% in June, remaining in place until a “complete and total purchase” of the Arctic island is realized.

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Following 25 years of negotiations, the trade agreement with the Latin American economic bloc won the support of a majority of EU countries, despite opposition from France and Poland, Euroactive reported Saturday. It has faced widespread resistance from the agricultural sector, with farmers across Europe staging massive protests against the deal.

Demonstrations are reportedly set to continue Tuesday in Strasbourg, where some 5,000 farmers and 1,000 tractors are expected outside the European Parliament. A parliamentary vote that could challenge the deal at the EU’s Court of Justice is scheduled for Wednesday.

According to the European Council, the deal will create the world’s largest free trade zone, with a market of more than 700 million consumers. The EU is Mercosur’s second-largest trading partner in terms of goods, accounting for nearly 17% of the bloc’s total trade in 2024. That year, EU exports to Mercosur reached €55.2 billion, while imports from the bloc were €56 billion, yielding a total of over €111 billion – more than 36% growth since 2014.