After the EU vote

Mercosur, so EU countries (including Italy) aim for immediate implementation

Businesses call for agreement pending EU court ruling. At risk for Italy more exports worth 14 billion euro

by Giorgio dell'Orefice

3' min read

Translated by AI
Versione italiana

3' min read

Translated by AI
Versione italiana

"Regarding Mercosur, what we can say is that when the Council approved the signing of the agreement with Mercosur, it also approved its provisional application at the same time". This was underlined by EU sources in the aftermath of the referral to the European Court of Justice of the trade agreement voted by the Europarliament yesterday.

Therefore, according to information in EU circles, the line is to go ahead with the implementation of the agreement, strong after its signature with the Mercosur countries just a few days ago in Assuncion, Paraguay, and awaiting the pronouncement of the EU magistrates called to rule on the formal compatibility of the agreement with EU rules.

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Advocating for the immediate application of the agreement was the Foreign Minister, Antonio Tajani. "With Mercosur," the deputy prime minister explained today during question time at the Senate, "I hope that we can take a step forward even after the European Parliament's decision to request the Court's judgement. There can also be a provisional application: this will mean an additional 14 billion for our international trade'.

The Minister for European Policies, Tommaso Foti, was of the same opinion. When questioned on the sidelines of the Chamber session, he said, 'Our wish is that the agreement with Mercosur enters into force.

Asked whether, in light of the vote in favour of the referral of the agreement to the EU Court of Justice by the MEPs of the League, there was a rift in the government majority, Minister Foti replied: 'I don't think the majority is united in Europe. Mercosur is an opportunity, we need reciprocity for the whole agricultural game. For the rest we will see, when and if it goes into effect, whether it has positive or negative effects. On paper they are very positive'.

"The Mercosur agreement is one of the few instruments immediately available to give new impetus to the competitiveness of Italian companies. It must start immediately, blocking it would mean giving up a market of over 260 million people and jeopardising billions in potential exports'.

This is what the president of Unindustria Lazio, Giuseppe Biazzo, wrote in a note commenting on the postponement of the ratification of the trade agreement.

'Italy is now the fourth largest exporter country in the world,' he added, 'reaching EUR 650 billion in the last year, and agreements like this are fundamental to protect and strengthen our production system. Choosing to hinder them means, in fact, sabotaging the country's development. Our companies are going through a complex phase, marked by still high energy costs, weak demand and strong international uncertainty. In such a framework, restricting access to global markets is a concrete detriment for the country. Opposing Mercosur does not protect Italy: it makes it less competitive and more isolated'.

'The business system,' Biazzo continued, 'considers it a priority for the Commission to activate the provisional application of the agreement without delay, pending ratification by the European Parliament. Mercosur represents a strategic step to strengthen production chains and consolidate the presence of Italian companies in Argentina, Brazil, Paraguay and Uruguay".

Meanwhile, also today, a motion of no-confidence against the President of the European Commission, Ursula von der Leyen, was voted - and rejected with 165 votes in favour, 390 against and 10 abstentions.

The motion, which called for the resignation of the EU Commission, and of the president herself, following the signing of the EU-Mercosur agreement, had been tabled by the Group of Patriots for Europe, a European formation that brings together the League, Viktor Orbán's Fidesz party and the Rassemblement National of Jordan Bardella and Marine Le Pen.

Having passed the hurdle of the no-confidence motion against the Commission and its president, the solution of the immediate start of the trade agreement seems closer.

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