Mercosur is not only about agriculture. “Car exports will skyrocket by 200 percent.”

The EU-Mercosur trade agreement may bring the European automotive sector an increase in exports by up to EUR 20 billion, or 200%. – the head of the European Commission, Ursula von der Leyen, announced on Wednesday in the European Parliament in Strasbourg, arguing that the agreement will bring benefits to the entire EU economy.

Von der Leyen emphasized that the agreement with Mercosur countries will provide the EU with access to key raw materials needed by European industry.

She assessed that companies from the automotive sector, but also producers of chemicals and machinery, could benefit particularly greatly.

Von der Leyen also drew attention to the potential benefits for European agriculture and the agri-food industry.

– The agreement with Mercosur will bring huge benefits to producers of dairy products, wine, spirits, oils and many other products. At the same time, we listened carefully to the concerns raised, including the voice of our farmers, and ensured strong protections for sensitive agri-food sectors, she said.

According to the President of the European Commission, the agreement with Mercosur can bring benefits to all EU member states, while strengthening Europe's resilience to global economic and geopolitical risks.

The vote on two applications to refer the agreement to the Court of Justice of the EU will take place on Wednesday in Strasbourg. However, such a decision of the European Parliament will probably not stop the application of the agreement, because the EC has previously informed that the consent of the European Parliament is not required for the agreement to temporarily enter into force. However, the EC did not specify whether it intends to use such a path if the agreement goes to the CJEU for several months.

The European Commission signed a trade agreement with Mercosur on Saturday in Asuncion. The agreement is intended to facilitate the flow of industrial and agricultural products between the EU and the bloc of South American countries.

From Strasbourg Łukasz Osiński (PAP)

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