Paraguay president slams EU trade deal 'asymmetries' at Mercosur summit
At the 68th Mercosur summit in Paraguay, President Santiago Peña opened with a sharp critique of the bloc's implementation of its trade agreement with the European Union, calling for 'concrete results' to correct internal imbalances.
A bitter taste on opening day
President Santiago Peña of Paraguay used the opening of the 68th Mercosur summit in Luque, on the outskirts of Asunción, to deliver a blunt assessment of the bloc's trade deal with the European Union. Signed in January and still awaiting ratification, the agreement has left a "bitter taste" for smaller members, Peña said, demanding that its implementation be fairer.
The field is not level for everyone, we do not have the same market, nor the same industries, nor the same logistics.
His remarks set the tone for a gathering that also saw the launch of free‑trade negotiations with Japan and a minute of silence for the earthquake victims in Venezuela.
Justice and quotas
Peña's anger centred on the distribution of import quotas that the EU offers with tariff preferences. Smaller Mercosur economies, he argued, are being squeezed out. "What is the point of negotiating with Europe if access to new markets does not serve to develop those that are not yet developed?" he asked.
It is a question of justice. A Mercosur without justice is anything but a fraternal bloc.
He pointedly questioned whether the bloc wants a model where "the strongest tramples the weakest" and insisted that internal fairness is a prerequisite for external credibility.
Japan and other business
Beyond the EU‑deal friction, heads of state approved the official start of talks for a free‑trade agreement with Japan. They also worked through technical details stemming from the EU accord, which entered into force in May, even as ratification by the EU side remains pending.
- Mercosur founded by the Treaty of Asunción.
- Trade agreement with the European Union signed.
- Agreement enters into force, pending EU ratification.
- 68th Mercosur summit opens with Peña's criticism of deal implementation.
Absences and solidarity
The summit was attended by Presidents Lula (Brazil), Rodrigo Paz (Bolivia), Yamandú Orsi (Uruguay), plus associated members José Antonio Kast (Chile) and Daniel Noboa (Ecuador). Argentine President Javier Milei cancelled at the last moment, caught in a political storm at home after his chief of staff resigned over an illicit enrichment scandal. The leaders observed a minute of silence for Venezuela, struck last week by a double earthquake that killed at least 1,700 people.
