Cyprus Times

EU-Mercosur Deal Put on Hold by European Parliament, Referred to EU Court

Published January 21, 2026, 12:10
EU-Mercosur Deal Put on Hold by European Parliament, Referred to EU Court

The European Parliament has decided to put the trade agreement between the European Union and the Mercosur countries (Brazil, Argentina, Paraguay, Uruguay) on hold, referring it to the EU Court to examine its legal basis. The decision was made by a narrow margin (334 votes in favor, 324 against and 10 abstentions) after more than 20 years of negotiations. The referral to the court could delay the implementation of the agreement by up to two years, while thousands of farmers are protesting in Strasbourg against the deal. The European Commission has limited options, but could theoretically proceed with the provisional application of the agreement, which however would worsen its relations with the European Parliament.