The partnership agreement between the European Union and the Mercosur countries (EMPA) is one of the most significant trade projects of recent decades. It will affect approximately 700 million people and opens up new opportunities for international trade, investment, and intercontinental cooperation.

Negotiations began as early as 1999, and since then the agreement has undergone a long and complex development process. The result is a two-stage model: before the full agreement enters into force, a so-called Interim Trade Agreement (iTA) will be applied temporarily.

Although the signing was originally planned for 2025, the process was delayed due to reservations from some EU member states. A key breakthrough came on January 9, 2026, when representatives of all 27 EU countries approved the agreement. It was subsequently signed on January 17 in Asunción, Paraguay. Shortly afterward, however, the European Parliament referred the document to the European Court of Justice, delaying the final ratification.

On the Mercosur side, the process moved faster. At the end of February 2026, Uruguay and Argentina ratified the agreement, followed by Brazil and Paraguay in March. This completed the ratification process within the region.

For businesses, the key question is: when will the agreement actually take effect? Provisional application may begin on “the first day of the second month following mutual notification” between the parties. Based on current developments, the launch is expected in the second quarter of 2026. The exact date will be published in the Official Journal of the EU.

What does this mean for businesses?

• reduced tariffs and easier access to Mercosur markets

• new export opportunities

• greater legal certainty in trade relations

For both European and South American companies, the agreement represents an important step toward more open and efficient trade. At Calmio.eu, we will continue to monitor developments and provide you with up-to-date information and practical business insights.