European Commission President Ursula von der Leyen and European Council President António Costa lead the signing ceremony at 4 PM (Catalan time) in Asunción. The agreement provides for the gradual elimination of tariffs on 91% of EU exports to Mercosur and 92% of Mercosur exports to the EU.
“"Everyone benefits from this."
The European agricultural sector, including Catalan farmers, fears competition from cheaper South American products and warns that the pact could be "devastating." They demand "mirror clauses" so that imported goods meet the same standards as EU products.
The European Parliament could obstruct the pact's entry into force if it votes on Wednesday to refer it to the Court of Justice of the European Union (CJEU). Nevertheless, the Commission has not ruled out applying it provisionally without the Parliament's approval.
To ease concerns, Brussels has introduced changes, such as limitations on the import of "sensitive" products (beef, sugar) and safeguard clauses allowing investigations if import prices or volumes drop or increase significantly.
