Speech by President von der Leyen on the signature of the EU-Mercosur partnership agreement

“Check against delivery”

President Peña,

President Milei,

President Orsi,

President Paz,

President Mulino,

President Costa, dear António,

Minister Vieira, dear Mauro,

Honourable Members of Parliament,

Excellencies,

Ladies and gentlemen,

It is an honour to be here with you in beautiful Asunción, in the heart of Latin America, and in the very room where Mercosur's founding treaty was signed. This place carries history, it reminds us of a moment when nations in Latin America chose cooperation over division, rejected rivalry and reaffirmed democracy, and brought peoples together across borders and rivers. As a European, I recognise in that choice something familiar, and I deeply respect the ambition and courage it required. So my first message is a simple one: thank you for bringing us together and hosting us in this historic setting. Aguyje, Paraguay.

But this moment belongs to all the Mercosur nations: to Argentina, Brazil, Uruguay and Paraguay. Because this moment is not only about bringing countries closer together but about connecting continents, and each one of the Mercosur countries worked hard for this result. So today, in this room, we are signing again an important document, a new partnership between Mercosur and Europe. This deal has been in the making for 25 years. Many hands have worked tirelessly. It has survived changes of government, and a great many meetings. And we all know it took a final push, right up to the last moment, to bring us together here today. We are creating the largest free trade zone in the world, a market worth almost 20% of global GDP. Delivering untold opportunities for our 700 million citizens. This agreement sends a strong signal to the world. It reflects a clear and deliberate choice. We choose fair trade over tariffs, we choose a productive, long-term partnership, and above all, we intend to deliver real and tangible benefits to our peoples and companies.

Let me highlight three points. First, the economic benefits of this partnership. They are crystal clear.   Already today, Europe is the second largest trading partner of Mercosur and Europe is the biggest foreign investor in the region. This deal will remove tariffs and other barriers to trade, it will open up public procurement. It will provide a clear rules-based framework to encourage investment and trade to flow. And this will greatly benefit companies on both sides, this includes the 30,000 European SMEs that are already exporting to this great region. And increased exports will create jobs, both here and in Europe.

My second point: I would like to highlight how this agreement will support our ambitions to protect nature and climate. There is a strong chapter on trade and sustainable development. We are committing to help each other to make the transition to climate neutrality. Europe will gain improved access to the raw materials we need for our transition, and European investment will support the Mercosur countries in their transition. This is how trade should be. Partners with complementary strengths are supporting each other. Our citizens can be sure we have the interests of their children and grandchildren high in our minds.

My third point: The geopolitical importance of this agreement cannot be overstated. We are creating a platform to work on a range of global issues, from protecting our precious natural environment to reforming global institutions. We will join forces like never before, because we believe that this is the best way to make our people and our countries prosper. And when our two regions speak with one voice on global issues, the world will listen.

Ladies and gentlemen,

I have been reading about the great Paraguayan poet Augusto Roa Bastos. He spent years of his life in Europe – in the French city of Toulouse. Not only did he build a family there, he also taught Latin American literature and Guaraní language to enthusiastic European students. His story is the story of so many people, not just here in Paraguay, but in Argentina, Brazil, Uruguay and all across Europe. People who travelled across the Ocean, loved our two continents and made both of them stronger. The ties between Mercosur and Europe run deep. We share culture, values and a similar path of regional integration. Today, we built on this with a partnership that reflects the true breadth and depth of our relations. We are turning our friendship into greater strength – for Mercosur and Europe alike.

So let me thank you once again for your hospitality. And long live our friendship Europe-Mercosur. Muchas gracias.