{"id":685678,"date":"2026-01-10T01:14:15","date_gmt":"2026-01-10T01:14:15","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/685678\/"},"modified":"2026-01-10T01:14:15","modified_gmt":"2026-01-10T01:14:15","slug":"brussels-approves-eu-mercosur-trade-deal-signing","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/685678\/","title":{"rendered":"Brussels Approves EU-Mercosur Trade Deal Signing"},"content":{"rendered":"

Welcome back to World Brief, where we\u2019re looking at the economic impact of the European Union-Mercosur<\/strong> trade deal, Russia<\/strong>\u2019s hypersonic threat to Ukraine <\/strong>and NATO<\/strong>, and mass protests in Iran<\/strong>.<\/p>\n

Major Win or Cause for More Unrest?<\/p>\n

The European Union gave the green light on Friday to a trade deal<\/a> with South America\u2019s Mercosur bloc, overcoming 25 years of drawn-out negotiations to create one of the largest free-trade zones in the world. Although the deal\u2019s key European backers, such as German Chancellor Friedrich Merz and European Commission President Ursula von der Leyen, are trumpeting<\/a> the agreement as a win, analysts suggest that the accord\u2019s economic impact on the continent will be minimal at best\u2014and could spark further political unrest at worst.<\/p>\n

Welcome back to World Brief, where we\u2019re looking at the economic impact of the European Union-Mercosur<\/strong> trade deal, Russia<\/strong>\u2019s hypersonic threat to Ukraine <\/strong>and NATO<\/strong>, and mass protests in Iran<\/strong>.<\/p>\n

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Major Win or Cause for More Unrest?<\/p>\n

The European Union gave the green light on Friday to a trade deal<\/a> with South America\u2019s Mercosur bloc, overcoming 25 years of drawn-out negotiations to create one of the largest free-trade zones in the world. Although the deal\u2019s key European backers, such as German Chancellor Friedrich Merz and European Commission President Ursula von der Leyen, are trumpeting<\/a> the agreement as a win, analysts suggest that the accord\u2019s economic impact on the continent will be minimal at best\u2014and could spark further political unrest at worst.<\/p>\n

Under the EU-Mercosur deal, more than 90 percent of tariffs on EU exports will be eliminated to allow for an integrated market of some 780 million consumers. Europe has framed the agreement<\/a> as necessary to counter steep U.S. tariffs<\/a>, which would bolster the EU\u2019s automobile and pharmaceutical industries, as well as a significant way to burnish the bloc\u2019s reputation on the world stage.<\/p>\n

The EU also believes that the deal will help diversify European markets<\/a>, specifically by providing another source of critical raw materials apart from China. Beijing is South America\u2019s biggest trading partner<\/a>, in large part due to investments from China\u2019s Belt and Road Initiative.<\/p>\n

\u201cAt a time when trade and dependencies are being weaponized and the dangerous, transactional nature of the reality we live in becomes increasingly stark, this historic trade deal is further proof that Europe charts its own course and stands as a reliable partner,\u201d von der Leyen said<\/a>.<\/p>\n

However, the European Commission estimates<\/a> that the EU-Mercosur deal will add only 0.05 percent (around $90.2 billion) to the bloc\u2019s economy by 2040. This is because trade between Europe and Mercosur\u2019s five full members\u2014Argentina, Brazil, Bolivia, Paraguay, and Uruguay\u2014is historically low, even with Brazil (Latin America\u2019s largest economy) being part of the deal.<\/p>\n

The accord\u2019s impending signing also threatens to exacerbate political unrest in Europe. In recent weeks, farmers and environmental activists have escalated their protests<\/a> against the agreement, citing concerns that it fails to safeguard European interests. Agriculture workers claim that the deal will flood the EU with cheap food imports<\/a>, specifically beef and poultry; raise prices; and require excessive local regulation. Meanwhile, environmental groups and other critics argue that South American producers do not meet European standards on animal treatment, deforestation, pesticides, and workers\u2019 rights.<\/p>\n

Austria, France, Hungary, Ireland, and Poland voted against the deal on Friday, and Belgium abstained. However, last-minute concessions, including early access to roughly $52 billion in agricultural aid, convinced Italy\u2014a major holdout\u2014to flip its position, allowing the accord to pass.<\/p>\n

The European Parliament still needs to approve the treaty for implementation. In the meantime, farmers across Europe launched<\/a> new protests on Friday, and France\u2019s far-left and far-right parties have launched or vowed to launch no-confidence motions<\/a> against President Emmanuel Macron\u2019s government over the deal\u2019s impending signing.<\/p>\n

Today\u2019s Most Read<\/p>\n

What We\u2019re Following<\/p>\n

Signaling further aggression. <\/strong>The Russian military claimed<\/a> on Friday to have fired a hypersonic Oreshnik missile<\/a> at Ukraine\u2019s critical infrastructure. Moscow said the attack was in response to an attempted Ukrainian drone strike last month on one of Russian President Vladimir Putin\u2019s residences. Kyiv says that strike did not occur, a claim supported<\/a> by a U.S. intelligence finding. According to Russia\u2019s Defense Ministry, one of the Oreshnik\u2019s targets was a factory that produced drones used in that alleged operation.<\/p>\n

This is the second time that Russia has fired an Oreshnik missile, known for its difficulty to intercept and its ability to carry nuclear warheads. Lviv Gov. Maksym Kozytskyi confirmed<\/a> on Friday that the missile\u2014whose warheads contained no explosives, according to a Ukrainian assessment\u2014damaged an energy facility in the Ukrainian region. No casualties were reported.<\/p>\n

Some European officials said Moscow\u2019s targeting of Lviv, which borders NATO member Poland, with this missile was meant to send a message to the alliance. The attack comes just days after some of Ukraine\u2019s key European allies agreed<\/a> to provide security guarantees<\/a> for Kyiv in the event of a cease-fire with Russia. \u201cThis is a new level of threat\u2014not only for Ukraine, but also for the security of Europe,\u201d Lviv Mayor Andriy Sadovy<\/a> posted on Telegram.<\/p>\n

Moment of reckoning. <\/strong>Iranian Supreme Leader Ayatollah Ali Khamenei signaled<\/a> on Friday that Tehran would \u201cnot back down\u201d in the face of mass anti-government protests, which first erupted on Dec. 28 over soaring inflation rates and the country\u2019s plummeting currency<\/a>. Protesters are \u201cruining their own streets \u2026 in order to please the president of the United States,\u201d Khamenei said, in reference to U.S. President Donald Trump threatening<\/a> U.S. intervention if Iran \u201cviolently kills peaceful protesters.\u201d<\/p>\n

Tehran heightened its crackdown this week by cutting off<\/a> internet access across much of the country, and Iran\u2019s public prosecutor has threatened to issue death sentences against those who the state claims are acting on behalf of Washington or its allies. Already, at least 62 people have been killed and more than 2,300 others detained, according to the U.S.-based Human Rights Activists News Agency.<\/p>\n

Experts suggest that Iran\u2019s current unrest is the country\u2019s biggest internal challenge<\/a> in at least three years, when protests erupted over the death of Mahsa Amini<\/a>, a 22-year-old Iranian woman who was arrested and allegedly beaten to death by the country\u2019s morality police for violating Tehran\u2019s mandatory hijab law.<\/p>\n

Control of southern Yemen. <\/strong>Yemen\u2019s Southern Transitional Council (STC), a United Arab Emirates-backed secessionist group, announced it would be dissolving<\/a> its institutions on Friday following a failed weekslong lightning offensive aimed at seizing control of the southern Hadramout and al-Mahra provinces. According to STC Secretary-General Abdulrahman Jalal al-Sebaihi, the council did not approve the military operation, adding that the offensive \u201charmed the unity of the southern ranks and damaged relations with the Saudi-led coalition,\u201d which backs Yemen\u2019s National Shield Forces.<\/p>\n

Saudi Defense Minister Khalid bin Salman heralded<\/a> the STC\u2019s decision on Friday as \u201ccourageous,\u201d adding that Riyadh will work with southern Yemeni figures to host a conference focused on finding a comprehensive political solution for the country. A date for the summit has yet to be announced.<\/p>\n

The council\u2019s dissolution comes one day after STC leader Aidarous al-Zubaidi fled to the UAE<\/a> after Yemen\u2019s Saudi-backed presidential council charged him with treason<\/a> for failing to attend planned talks in Saudi Arabia this week. Riyadh has accused Abu Dhabi of helping Zubaidi escape; such assertions could exacerbate tensions<\/a> between the regional oil powers.<\/p>\n

What in the World?<\/p>\n

The United States on Saturday abducted Venezuelan President Nicol\u00e1s Maduro and one other individual. Who was captured alongside Maduro and taken to New York for prosecution?<\/p>\n

A. Vice President Delcy Rodr\u00edguez
B. His wife, Cilia Flores
C. His son, Nicol\u00e1s Maduro Guerra
D. Defense Minister Vladimir Padrino L\u00f3pez<\/p>\n

Odds and Ends<\/p>\n

The Democratic Republic of the Congo welcomed<\/a> twin baby mountain gorillas to its Virunga National Park on Wednesday. Park workers discovered the newborn boys on Jan. 3 and are monitoring their health closely, calling their birth a \u201cmajor event\u201d for ongoing conservation efforts. Africa\u2019s oldest national park is home to around 350 mountain gorillas; however, much of Virunga is under rebel control<\/a>, and fighting has accelerated forest loss, threatening the already endangered species.<\/p>\n

And the Answer Is\u2026<\/p>\n

B. His wife, Cilia Flores<\/p>\n

The abduction and preceding large-scale strikes follow months of U.S. military buildup in the Caribbean, FP\u2019s Rishi Iyengar and John Haltiwanger report<\/a>.<\/p>\n

To take the rest of FP\u2019s weekly international news quiz, click here<\/a>, or sign up<\/a> to be alerted when a new one is published.<\/p>\n","protected":false},"excerpt":{"rendered":"Welcome back to World Brief, where we\u2019re looking at the economic impact of the European Union-Mercosur trade deal,…\n","protected":false},"author":2,"featured_media":685679,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5174],"tags":[3647,2000,299,5187,6219,122898,36765,22713,23783],"class_list":{"0":"post-685678","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-eu","8":"tag-economics","9":"tag-eu","10":"tag-europe","11":"tag-european","12":"tag-homepage_regional_europe","13":"tag-paywall-free","14":"tag-post-to-buffer","15":"tag-south-america","16":"tag-trade-policy-agreements"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115868156767787565","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/685678","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=685678"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/685678\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/685679"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=685678"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=685678"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=685678"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}