Agreement with Mercosur: 'We will have a Christmas present,' says head of European Parliament committee

In December 2024, after 25 years of negotiations, the European Union and Mercosur signed a trade agreement. It still requires approval from the EU Council and the European Parliament to enter into force. But this—despite some resistance, such as that of French President Emmanuel Macron —could happen this year, according to the chairman of the European Parliament's Committee on International Trade (INTA), German Bernd Lange. He believes the agreement could receive between 400 and 500 votes from the 720 members of the 27 European Union countries.

Lange was in Brazil between Monday the 21st and Wednesday the 23rd, with appointments in Brasília and São Paulo, and gave an interview to Estadão . In the federal capital, he met with ministers, including Vice President Geraldo Alckmin , representing the Ministry of Development, Industry, Commerce and Services (MDIC) , as well as representatives from the Ministries of Foreign Affairs and Labor and Employment . On Tuesday the 22nd, he was at the Port of Santos.

The German politician, in his third term in office, has held the top trade negotiation post in the European Parliament for 11 years, overseeing much of the process of approving the European bloc's agreement with Mercosur.

Read the main excerpts from the interview below.

Earlier this year, it was rumored that the Mercosur-European Union trade deal could be accelerated in light of Trump's tariff threats. Is this happening?

Of course, there was a certain internal process to be undertaken within the European Union, as we know. In 2019, Parliament was not satisfied with the text on the table. And we asked the European Commission to negotiate some elements. But, in the context of the negotiations, it was quite clear, and there were some significant changes to the text itself. This, of course, caused some delays, because our lawyers still needed to review the text, and it would be translated into the 24 official languages of the bloc. But now, I can confirm that the text is ready. So, I believe we will have a wonderful Christmas present this year.

Have even the pending issues related to environmental issues, which Brazil complained could be used as a barrier against its agricultural products, and government procurement been resolved?

The text is now really good. We added additional elements and slightly changed the government procurement rules, in line with the interests of both Brazil and Portugal. The conditions are clear. We also reached a common approach to climate change and the implementation of the Paris Agreement . There were also some changes to the tariff guidelines. I believe it's a truly good agreement for both sides.

Will even French negotiators be satisfied?

There's a domestic situation in France , specifically in the agricultural sector. Farmers have small properties, and we need to find a solution within the European Union for this. Perhaps to offset some of the problems that are emerging in France. So, the Mercosur agreement isn't really a problem. If you go to a supermarket here in Brazil, you'll find French cheese, wine, and champagne. Ultimately, and the numbers are clear on this, France will benefit from the agreement. It's more of a problem between the producer, the processor, and the product negotiator, as the latter two are getting a much larger slice of the pie than the initial point in the value chain.

Can Denmark, with its rotating presidency of the EU Council this semester, help finalize the process?

Certainly. They agreed to the agreement, and I spoke with the Danish Minister of Trade, also responsible for foreign relations, and he is very interested in bringing the agreement to the finish line. Also relevant in the conversations is that the conditions for European investment here are clear and also provide opportunities for small businesses to invest, in this approach to reindustrializing Brazil. There are also discussions about the European Commission's program to support international European investment.

With Trump's threats, not only has the European Union's agreement with Mercosur moved forward, but also with Indonesia and Chile. There are also rumors that there are negotiations for an agreement with India. Will all of this move forward?

This geopolitical situation and President Donald Trump 's behavior, attacking all multilateral rules, is unacceptable and leads us to rethink our relations between countries, to improve them and make them more stable. Not only between individual countries, but also between the EU and our main partners. Just before Easter, I was in Jakarta, and we discussed in depth the agreement, which has been under negotiation for about five years and has accelerated. Now, the legal analysis and translation process has begun. Indonesia is an important country. The EU needs to redefine its role, specifically in relation to developing countries like Brazil and Indonesia, which are relevant on the global stage and have democratic systems. We must encourage European leaders and the European Parliament to engage more with countries with this profile.

The most complex part of the final approval of the Mercosur agreement now lies in the approval of the European Parliament, which brings together all member countries. How can approval happen?

I hope we can find a solution for France as quickly as possible, and ratification by the European Parliament will move forward. Of course, there are opposing voices. We have 720 members of Parliament, and in the past, trade agreements have passed with around 400 to 500 votes. On the far left and the far right, many people will vote against the agreement on principle, and in what we might call the democratic bloc, there are some debates. The agreement with Japan was approved with more votes than the one with Vietnam , for various reasons. But I hope the agreement with Mercosur can be in the middle. There are some lobbyists from the French agricultural sector who probably won't vote in favor. But I believe there will be a majority. In this geopolitical situation, failure would truly be a catastrophe.

Could Brazil's alliance with BRICS be a problem, as it includes China and Russia?

No. My assessment of BRICS is that it is a response to Western global domination. I've had several discussions with representatives of the African National Congress in South Africa , where they say that China, despite being an authoritarian regime, is a model for independent development. They've managed to lift 600 million people out of poverty and have truly developed into a global force. Of course, we maintain our democratic values and our values of an open society, as do Brazil and South Africa. We can understand the legitimate sovereignty interests of these countries. It's also an opportunity for Europe to make clear that we are a predictable and reliable partner, that we don't punish other countries, and that we've learned from our colonial past. We respect the interests of the BRICS, which may not be satisfied with the G-20. Being a democracy isn't a prerequisite for membership in the BRICS, but I also believe that Brazil is one of the forces that prevents all the world's undemocratic countries from joining an alliance of dictators.