EU and Mercosur bloc ink major trade deal, rejecting ‘tariffs’ and ‘isolation’

Asuncion, Paraguay –

South American and European Union officials on Saturday signed a major trade deal, which they hailed as sending a powerful message at a time of tariff threats, global uncertainty and protectionism.

The deal between the 27-nation European Union and Mercosur bloc members Brazil, Argentina, Uruguay and Paraguay creates one of the world’s largest free trade areas after 25 years of tricky negotiations.

It was given fresh impetus amid the sweeping use of tariffs and trade threats by U.S. President Donald Trump’s administration, which has sent countries scrambling for new partnerships.