Buenos Aires, July 1, 2025 - Mercosur and the European Free Trade Association (EFTA) finalized a free trade agreement during a Mercosur summit.
The agreement will establish a free trade area, impacting nearly 300 million people and a combined GDP exceeding $4.3 trillion. It aims to improve market access for over 97% of exports between the blocs, fostering trade growth and business development.
Mercosur is a trade bloc of South America, including Brazil, Argentina, Uruguay, Paraguay, and Bolivia, while EFTA unites Norway, Iceland, Switzerland, and Liechtenstein – countries not in the European Union. Negotiations between them went on since 2017 and concluded with a successful agreement.
The deal now requires approval from parliaments and legal review, with the signing expected in the second half of 2025. It is anticipated that the agreement will improve trade conditions, expand the choice of goods, and create new opportunities for economic cooperation.