A report has advised the European Union to promptly apply the EU–Mercosur Interim Trade Agreement and accelerate the provisional application of the EU–India free trade agreement in response to urgent geopolitical challenges, including pressure from the United States. The report highlighted that these agreements could establish the world’s two largest free trade zones, emphasizing enhanced cooperation between democracies amidst global power dynamics.
The report emphasized the necessity for swift action, citing threats from the United States towards European allies in terms of tariffs and military actions. It underscored the significance of advancing these agreements as a means to strengthen ties between democratic nations, aligning with values such as human rights, sustainable development, solidarity, sovereignty, and territorial integrity.
Furthermore, the report pointed out that while the European Parliament had referred EU-Mercosur agreements to the Court of Justice, provisional application remains legally feasible for the Council and Commission. It warned against delays in finalizing the agreements with Mercosur and India, suggesting that such delays could raise doubts about the EU’s ability to engage effectively with its partners.
The report urged for a proactive approach, drawing on past instances of provisional application, such as with CETA, to demonstrate the EU’s commitment to fostering robust relationships with major democracies. It stressed the importance of not allowing potential issues identified by the Court to impede the progress of these agreements, advocating for remedial actions without disrupting provisional application.
In conclusion, the report called for decisive action, stating that swift provisional application would showcase the EU’s credibility and flexibility to partners like Mercosur and India. It highlighted the need for agility in addressing any concerns raised, ensuring that the agreements can move forward without significant interruptions.
