Macron: Mercosur-EU deal is 'very bad' for both sides

French President Emmanuel Macron stated to Brazilian business leaders that the European Union and South America’s Mercosur bloc need to revise the current trade agreement, considering it antiquated.

During his trip to Brazil, French President Emmanuel Macron raised concerns about the proposed trade deal between the European Union and the Mercosur bloc.

Macron described the current agreement as “very bad” for both sides and emphasized the need to revise it to address the challenges posed by climate change. He emphasized that he negotiated the deal two decades ago and called for its reconstruction.

Macron’s remarks reaffirmed his strong opposition to the agreement, making him one of the most vocal European leaders on this issue.

Why does Macron oppose the deal?

Macron opposes the deal because he believes that South American producers should adhere to the same environmental and health standards as Europeans.

He emphasizes the importance of considering diversity and climate in any trade agreement and believes that the current deal does not take these factors into account.

Macron advocates for a responsible trade deal that promotes development, climate protection, and biodiversity and includes clauses that ensure reciprocity.

How did Brazil react?

Brazil has expressed its readiness to sign an agreement, while France has consistently voiced concerns due to objections from its farmers regarding potential agricultural imports, particularly beef, that do not adhere to strict EU standards.

Brazilian Finance Minister Fernando Haddad emphasized the importance of not abandoning the deal, stating that despite missing an opportunity at the end of last year, there is still time to advance.

He highlighted President Luiz Inacio Lula da Silva’s dedication to the agreement and commitment to strengthening ties with the European market. European officials have indicated that they could achieve significant advancements in the deal by July.