The European Parliament has asked the EU's top court to review a newly signed trade agreement with Mercosur, creating legal uncertainty for the pact signed with Brazil, Argentina, Uruguay and Paraguay. MEPs voted 334 to 324 in Strasbourg to refer the deal to the Court of Justice of the European Union. The European Commission opposed the move, arguing it had already addressed the concerns. Large tractor protests by farmers underscored political opposition and the court review could delay or block the agreement.
EU Parliament Refers Mercosur Trade Deal to Top Court, Putting Pact in Legal Limbo
Farmers erupted in celebration outside the EU parliament after it voted to refer the Mercosur trade deal to court (Romeo BOETZLE)(Romeo BOETZLE/AFP/AFP)
The European Parliament voted on Wednesday to ask the Court of Justice of the European Union (CJEU) to review a freshly signed trade agreement between the EU and the South American Mercosur bloc, introducing a new layer of legal uncertainty around the pact.
Signed last Saturday with Brazil, Argentina, Uruguay and Paraguay, the deal is intended to create one of the world's largest free-trade areas but has faced fierce opposition from farmers' groups in several EU member states—most prominently in France.
In Strasbourg, MEPs backed the referral by a narrow margin of 334 to 324, requesting that the CJEU determine whether the agreement complies with EU law and policy. The court review could delay implementation and, in a worst-case scenario, prevent the pact from entering into force.
Why the Referral Matters
The European Commission—whose negotiators championed the agreement—opposed the parliamentary motion. A commission spokesman, Olof Gill, told reporters the concerns raised in parliament had already been addressed in detailed internal analyses and that the referral was therefore unnecessary.
Olof Gill, European Commission trade spokesman: "According to our analysis, the questions raised in the motion by the parliament are not justified because the commission has already addressed those questions and issues in a very detailed way."
What the Deal Would Change
The pact would open EU markets further to Mercosur goods while granting EU exporters improved access to South American markets. It is expected to favour European sales of cars, wine and cheese and to ease market entry for South American beef, poultry, sugar, rice, honey and soybeans.
Protests and Political Fallout
The agreement has enraged many European farmers, who fear a flood of cheaper imports produced under lower environmental and pesticide standards. Hundreds of farmers drove tractors to protest outside the European Parliament in Strasbourg; similar demonstrations took place in Paris, Brussels and Warsaw.
Quentin Le Guillous, head of a French young farmers group: "We've been on this for months and months, for years. Tonight, I'm going home, I'm going to kiss everyone, and I'm going to tell my kids, 'I got it, we got it, we can be proud.'"
The CJEU's assessment will focus on legal compatibility with EU treaties, environmental protections and existing trade rules. Its verdict could reshape both the timetable and the political prospects for one of Brussels' flagship market-opening initiatives.
Reporting by EU institutions and AFP.
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