President states that Mercosur European Union Agreement reinforces multilateralism

President emphasizes strategic importance of the proposal, which would add a population of 722 million people and a GDP around 22 trillion dollars

“It would be the most exceptional agreement ever made at the beginning of the century and a response to unilateralism. We want to show that multilateralism will survive and that it is the reason why the world has made a quality leap after World War II.” With this sentence, President Lula reinforced on Saturday morning (7/6) the strategic importance of completion of the trade agreement between Mercosur and the European Union. The statement was given during a press conference in Paris.

The theme was one of the subjects discussed in the state’s visit of the Brazilian leader to France and in bilateral conversations with President Emmanuel Macron. “I told Macron: Open your heart to Brazil and let’s sign this agreement,” joked Lula. He emphasized the willingness of Brazil, which will be at the head of the presidency of the South American bloc from July, in discussing points that still arouse divergences in the vision of the French.

France has no better friend than Brazil in South America and Brazil has no better friend than France in Europe. If you have a problem, we will sit at a table and find where the difference is and we will end it. It is important to never forget: Mercosur and the European Union make up a population of 722 million, with GDP of 22 trillion dollars, ”said the president

Agriculture

One of the focus of the contradiction manifested by the French would be in the fear of losses for agriculture in the European country in the competition with Brazilian agribusiness. According to Lula, the national agro already exports products such as soy and corn to Europe and there is no intention to undermine the flow of French producers. Lula says he actually sees points of intersection in interests.

Two hands

Our small and medium agriculture possibly has complementarity with the French. Far from me want to harm the small French farmer, ”said the president

“I do not want us to stop buying wine from France, although we produce wine. I do not want to buy champagne from France, although we produce. I do not want to buy French cheese, although we produce too. Commercial policy is a two -way road. We sell, we buy,” said Lula. He stressed that Brazil has almost six million small properties of up to 100 hectares and 2.5 million small producers from zero to 10 hectares, which do not integrate agribusiness.

Collective

The agreement between Mercosur and the European Union takes into account the interests of the 27 European countries and the four of South America. The completion of the text of the document was announced by the parties in Montevideo at the end of 2024. For Lula, even though the remaining process may run regardless of French disagreement, he would like to establish consensus.

I don’t want it to be an agreement where people are ugly. We will continue to talk to France, because France is a good political, economic, cultural and historical partner. I am convinced that until I leave the presidency of Mercosur we will have this agreement signed with everyone smiling, ”said Lula

“I will meet Macron at COP30 and I think there, when he is under a 30 meter tree, when he realizes the beauty of the forest, he will make the deal.”

Historic

Composed of 20 chapters, as well as annexes and additional documents, the agreement between Mercosur and the European Union was completed during the Mercosur summit in Montevideo on December 6. The partnership is the largest commercial agreement ever made by the South American bloc. The entry into force goes through the process of legal review and translation, signature, in addition to the final ratification by instances of the two blocks.

Dimension

The European Union is the second main commercial partner in Brazil, with a $ 92 billion trading current in 2023. The agreement diversifies trading partnerships in Brazil, as well as fostering the modernization of the Brazilian industrial park with integrating the European Union productive chains. It is also expected that the dynamize investment flows, which should reinforce the current position of the EU as the holder of almost half of the direct investment stock in Brazil.

Originally published by GOV AGENCY ON 07/06/2025