South Korea and Mercosur Revive Free Trade Talks After Five-Year Stall

South Korea and the South American trade bloc Mercosur are set to revive negotiations for a free trade agreement after talks stalled five years ago. The breakthrough came on February 23 during a meeting between Brazilian President Luiz Inácio Lula da Silva and South Korean President Lee Jae-myung, as reported by VisaHQ. The negotiations, which were paused in 2021 due to unresolved market-access issues, will now move forward under a new bilateral action plan.

As part of the renewed diplomatic push, the two nations elevated their relationship to a “strategic partnership.” This is underpinned by a new four-year Korea–Brazil Action Plan for 2026-2029 and includes the signing of ten memoranda of understanding. These agreements span a wide range of strategic sectors, including critical minerals, artificial intelligence, and defense, signaling a deepening of economic and technological cooperation beyond traditional trade.

A critical component for advancing the broader trade deal is a new agreement on sanitary-quarantine measures. According to VisaHQ, this cooperation is designed to accelerate approvals for Brazilian beef and pork exports to the South Korean market, a key prerequisite for progress on a comprehensive free trade agreement with the entire Mercosur bloc, which also includes Argentina, Paraguay, and Uruguay.

The resumption of talks holds significant implications for international trade, potentially opening the lucrative Mercosur market to South Korean technology and industrial goods while providing South Korea with greater access to agricultural products and strategic raw materials. For businesses in both regions, a future agreement could lower tariffs, streamline customs procedures, and create new investment opportunities, particularly in the high-tech and natural resource sectors.