On Thursday, Germany and Spain urged European Union leaders to move forward with the long-delayed Mercosur free trade agreement, clashing with France, which says the deal is not yet acceptable.
The pact with Argentina, Brazil, Paraguay and Uruguay (negotiated over 25 years) would be the EU's largest trade agreement by tariff cuts. Supporters, including Germany, Spain and Nordic countries, argue it would help European exporters hit by United States tariffs and reduce reliance on China by securing access to key raw materials.
German Chancellor Friedrich Merz said the European Union must act now to remain credible in global trade, while Spanish Prime Minister Pedro Sánchez called the deal essential to strengthening Europe's geopolitical and economic weight.
France remains firmly opposed. President Emmanuel Macron said the agreement lacks sufficient safeguards for European farmers, warning against imports produced under standards banned in the European Union. Poland, Hungary, Italy and others share similar concerns.