EU confirms Mercosur trade deal to be signed in Paraguay on Jan 17
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A demonstrator holding signs in a farmers' protest against the EU-Mercosur free trade agreement, in Athlone, Ireland, on Jan 10, 2026.
PHOTO: REUTERS
PARIS - European Commission head Ursula von der Leyen will sign the Mercosur trade deal in Paraguay on Jan 17, Brussels said on Jan 11.
The European Union gave a long-delayed go-ahead
Meanwhile, the French Socialist party said it will not vote in favour of two no-confidence motions filed by far-right and far-left opposition parties over France's failure to block the trade deal, giving some breathing space to the country's fragile government.
“It would be absurd to censure the government on Mercosur,” party leader Olivier Faure told BFM TV on Jan 11.
Analysts had said last week that approval chances of these motions were few, especially the one filed by the far-right National Rally (RN), the biggest party in the National Assembly, as left-wing parties never vote for any of its initiatives.
French Socialist party leader Olivier Faure attending a parliamentary debate at the National Assembly in Paris, France, on Nov 12, 2025.
PHOTO: REUTERS
Still, the threats underline the political tightrope Mr Macron's administration continues to walk just over a year before the 2027 presidential election, with polls showing the RN has a shot at victory in 2026.
Prime Minister Sebastien Lecornu wants neither censure nor dissolution of the National Assembly, Le Parisien newspaper reported on Jan 10.
At the same time, his office announced it had asked the Interior Ministry to prepare for possible legislative elections on the same dates as municipal elections, on March 15 and 22, in the event of his government’s collapse.
“Let's be clear. I want neither censure, nor dissolution. My fight is for stability and to ward off disorder,” Mr Lecornu told Le Parisien.
“The motion of no-confidence would send a dramatic signal at a time when we are seeking compromise and an even more dramatic message in view of the international political situation,” he told the daily newspaper, after denouncing “cynical partisan posturing” in a message on X on Jan 9.
Mr Lecornu said the no confidence motions sent a negative signal abroad. They will be put to the vote early next week, while budget talks are supposed to resume on Jan 13.
More than 25 years in the making, supporters see the Mercosur deal as crucial to boost exports, support the continent’s ailing economy and foster diplomatic ties at a time of global uncertainty.
But the agreement has drawn protests from farmers who fear being undercut by an influx of cheap beef and other products from South America.
Argentina’s Foreign Minister Pablo Quirno had already announced that the deal would be signed on Jan 17.
Paraguay is the country currently holding the rotating presidency of Mercosur. AFP, REUTERS
