The trade agreement between Mercosur and the European Union completed four months in effect, and initial data shows significant growth in trade between the blocs. Between May and August, Brazil stood out, with an increase of 23.5% in exports to the European Union. The European bloc responded with 6.2% more in sales to Brazil during the same period.
The main Brazilian products exported to Europe include agricultural and industrial commodities. On the European side, machines, technological equipment and manufactured products were sent. The increase in trade flow indicates a positive market response to the new terms of the agreement, which reduced tariffs and facilitated access to both markets.
However, the scenario is not completely positive. The treaty is still considered provisional and is subject to judicial approval. This means there are uncertainties about the future of the agreement, as it needs to go through legal processes in different member countries to become definitive and permanent.
The implementation of the Mercosur-EU agreement represents one of the biggest trade challenges of the century for South America. Experts warn that, until judicial approval is completed, companies and governments should maintain caution regarding long-term strategies based on this agreement.
