After 25 years of stalling, the European Union has finally approved a colossal free trade agreement with the Mercosur bloc (Brazil, Argentina, Paraguay, Uruguay). The deal creates a market of 700 million people, but it has sparked fury among European farmers who fear being wiped out by cheap South American beef.

The agreement was pushed through on Friday by a qualified majority of EU states, overriding fierce opposition from France, Poland, and Austria. European Commission President Ursula von der Leyen hailed it as a "win-win," strategically necessary to counter Trump’s protectionism and China’s influence in Latin America.

The Tractor Blockade

While bureaucrats celebrated in Brussels, tractors blocked highways in Paris and Warsaw. Farmers argue that Mercosur producers use pesticides and hormones banned in the EU, creating unfair competition.

• Lula’s Victory: Brazilian President Lula da Silva called it a "historic day for multilateralism." For South America, the deal promises duty-free access for soy, ethanol, and beef—a massive economic boost.
• Geopolitics: The deal is the EU's answer to the new "Trump Tariffs." By pivoting to Latin America, Europe hopes to diversify its supply chains away from the US and China.
• Next Steps: The deal will be formally signed in Paraguay on Monday. However, ratification in the European Parliament will be a battleground, with green parties likely to oppose it on environmental grounds.