The European Union and MERCOSUR: Prospects for a Free Trade Agreement

In: Journal of Interamerican studies and world affairs, Band 42, Heft 1, S. 1-22

Abstract

Negotiations between the European Union and MERCOSUR aim to establish the first free trade agreement ever between two customs unions. Among the potential obstacles are compliance with World Trade Organization rules, treatment of "sensitive" products, and competition from the proposed Free Trade Area of the Americas. This analysis reviews the economic background on both sides, the motivation, and the prospects for success, along with the agreement's potential impact on the largest third party, the United States.