EU Mercosur Agreement: Lower costs, greater stability!

"Following 25 years of difficult negotiations, the EU is on the verge of signing a free trade agreement with the Mercosur bloc. It is now up to the European Parliament to allow for the agreement to enter into force.

From the perspective of the skilled crafts sector, there are compelling economic and geopolitical reasons for the swift ratification and implementation: easier access to the South American market, lower costs for crafts businesses due to the removal of customs duties, geopolitical considerations and greater strategic independence for Europe. 

A closer partnership between the German economy and the members of the Mercosur customs union offers significant opportunities for craft businesses. This includes countries such as Brazil, Argentina, Paraguay and Chile. Duty-free or reduced-duty imports of important intermediate products such as tropical timber, leather, metal parts and machinery could lead to more favourable purchasing conditions, thereby significantly reducing costs and strengthening competitiveness. 

Better cooperation with the Mercosur countries also contributes to the diversification of supply chains and strengthens multilateral trade, which is also positive for craft businesses, especially in view of the current geopolitical conflicts. The EU Mercosur agreement would be an important step towards greater economic resilience and planning security."