MEPs have approved a 'safeguard clause' for the EU-Mercosur agreement.

The European Parliament's position was adopted today (Tuesday, December 16) with 431 votes in favour, 161 against, and 70 abstentions.

Negotiations with the European Council on the final version of the legislation will begin tomorrow.

The safeguard clause aims to "prevent imports from Mercosur countries from harming the European agricultural sector".

Draft regulation

The draft regulation sets out how the EU can temporarily suspend tariff preferences for the import of certain sensitive agricultural products (such as poultry or beef) from Argentina, Brazil, Paraguay and Uruguay if these are "deemed harmful to EU producers".

The European Parliament believes the European Commission should launch an investigation into the need for safeguard measures if imports of sensitive agricultural products increase by an average of 5% over a three-year period, compared to 10% per year in the commission's proposal).

Furthermore, MEPs are calling for faster investigation procedures, from six months to three, and from four to two months for sensitive products, to allow safeguard measures to be implemented more quickly.

The European Parliament adopted an amendment providing for a reciprocity mechanism.

This means that the commission will "launch an investigation and take safeguard measures if there is credible evidence that imports enjoying tariff preferences do not meet the same requirements regarding the environment, animal welfare, health, food safety or occupational safety as apply to producers in the EU".

'Stronger protection'

According to Gabriel Mato, the parliament's permanent rapporteur for Mercosur, these safeguards "significantly improve the functioning of the regulation by providing stronger protection for our farmers".

The bilateral safeguard clauses are to be included in both the EU-Mercosur Partnership Agreement and the EU-Mercosur Interim Trade Agreement.

Both agreements must be ratified by parliament after their signing, which is expected later this month.

The EU is Mercosur's second-largest trading partner in goods, with exports amounting to €57 billion in 2024.

The EU accounts for a quarter of Mercosur's total trade in services; EU exports to the region amounted to €29 billion in 2023.