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    Argentina’s New Government Expresses Intent to Pursue EU-Mercosur Trade Deal

    December 4, 2023

    Daisy

    Argentina, News, Trade Agreements

    Argentina’s incoming government is determined to pursue a trade agreement between the European Union (EU) and Latin American economies, according to the country’s future Foreign Minister Diana Mondino. As the current administration’s prospects of finalizing the deal before the end of its term diminish, Argentina’s new leadership is committed to exploring opportunities for the agreement.

     

    Mercosur members Brazil, Argentina, Uruguay, and Paraguay had aimed to gather on December 7 to work towards a trade agreement. However, the deal’s timeline has been postponed due to the need for approval from Argentina’s incoming government.

     

    Mondino emphasized that if an agreement is not reached by the scheduled date, negotiations will continue. She expressed hope that “someday, somehow” the deal will be accomplished.

     

    The trade treaty was agreed upon in principle in 2019 after two decades of negotiations. Additional environmental commitments requested by the EU led Brazil and Argentina to seek further concessions, resulting in prolonged negotiations.

     

    Mondino noted that the incoming administration has limited information about the current state of negotiations, as President-elect Javier Milei is set to take office on December 10. She expressed optimism that the new government can bring a different perspective and potentially reach an agreement.

     

    In related matters, Argentina’s Mondino stated that joining the BRICS grouping of developing nations is not a priority. Despite receiving an invitation to join BRICS, Argentina is cautious about accepting, as the benefits are unclear.

     

    However, the Milei administration is committed to pursuing membership in the Organisation for Economic Co-operation and Development (OECD), recognizing that the process will be challenging but necessary to align with more developed countries. Argentina, along with other countries, received an invitation to initiate the accession process in January 2022.

     

    The stance of the new Argentine government on these international agreements reflects its strategic approach to trade and economic partnerships in the evolving global landscape.

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