The European Union-Mercosur trade deal passed last week is now on hold after the European Parliament sent it to the EU’s top court, a move that could delay the agreement for more than a year and even put its approval at risk.
Mercosur, a South American trade bloc formed in 1991 to promote economic integration, has been negotiating with the EU since the early 2000s, with progress slowed mainly by European concerns over competition from South American agricultural exports. Although the EU finally endorsed the agreement last week, the new legal review is the latest obstacle to its approval.
A Razor-Thin Vote in Brussels
The vote was extremely close. On January 21, 334 lawmakers backed the court referral, while 324 voted against it and 11 abstained. The agreement, signed on January 17, would create a massive free trade area covering more than 700 million people. Even if the court eventually clears the deal, it would still require a final green light from the
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