EU postponed the signing of a trade agreement with Mercosur until January

European Union leaders at a summit in Brussels decided to postpone the signing of a trade deal with the four South American countries of the Mercosur economic union until January, DW reports.

“After 25 years of negotiations, the parties have come close to the goal, but they have still not reached an agreement,” the publication notes.

European Commission President Ursula von der Leyen said on Friday that she was confident that the postponement would give negotiators time to find a compromise.

She called the agreement “extremely important for Europe — economically, diplomatically and geopolitically.”

The free trade agreement aims to increase trade between the South American and European economic blocs, but some large EU countries view it critically.

Supporters of the agreement include Germany, Spain and the countries of Northern Europe. They argue that it will boost exports hit by US tariffs and reduce dependence on Beijing.

However, critics, including France, Italy and Poland, fear an influx of cheap goods and the impact it will have on EU farmers.

Negotiations on the deal have also been marred by mass protests, mainly from European farmers.ф

Tags: Mercosur, EU