EU Confirms Mercosur Trade Deal Provisional Application From May 1 Despite Pending Court Challenge

The European Commission took final procedural steps to provisionally apply the EU-Mercosur trade agreement from May 1, 2026, covering Argentina, Brazil, Paraguay, and Uruguay. The accord eliminates tariffs on 90%+ of trade between blocs representing 30% of global GDP and 700+ million consumers. The move uses a special procedure to bypass a pending CJEU legal challenge triggered by the European Parliament's January 21 vote suspending ratification. Argentina and Uruguay completed ratification in February; Brazil and Paraguay expected by end of March.