Story perspectives

EU-South America Trade Deal Faces Delays Amid Controversy

1/22/2026

Summary

Story summary

The European Union's free trade deal with South American countries could begin provisional application as early as March, pending Paraguay's ratification.
The European Court of Justice's involvement could delay implementation by two years.
German Chancellor Friedrich Merz and German businesses warn that delays would harm European competitiveness.
French farmers oppose the agreement, and French officials warn that provisional application would undermine democratic principles.

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Story summary

The European Union's free trade deal with South American countries could begin provisional application as early as March, pending Paraguay's ratification.
The European Court of Justice's involvement could delay implementation by two years.
German Chancellor Friedrich Merz and German businesses warn that delays would harm European competitiveness.
French farmers oppose the agreement, and French officials warn that provisional application would undermine democratic principles.