In 2021, the European Commission introduced the Global Gateway strategy as a counterweight to China’s Belt and Road Initiative. With this strategy, the European Union seeks to invest in projects beyond its area of influence. Among its projects in Mercosur, programs against deforestation, green hydrogen production, lithium and copper exchange, and development of digital infrastructure stand out. The European Union-Mercosur agreement would help consolidate the supply chains of these projects and the flow of European capital, in addition to the 380 billion euros already invested. In Latin America, Europe is considered a leader in environmental and human rights issues. On the other hand, in trade matters, Latin America continues to see China and the United States as world leaders. Ratification of the agreement would provide the European Union with the opportunity to strengthen its soft power through environmental issues, and strengthening its hard power, institutionalizing its economic influence.
The outlook in 2024 does not seem very encouraging for the ratification of the European Union-Mercosur agreement. European attention to internal processes, the loss of hope in the Latin American region and the change of rotating presidencies put the treaty in a vulnerable position. However, ratification remains a preferential issue for Germany and Brazil, who continue to promote dialogue for its completion. Added to this is the surprise support from Argentina, injecting unexpected optimism.
Source.NATALIA FIGUEROA LIMA is a member of the Mexican Foreign Service (SEM) since 2017
