From the perspective of environmentalists, the free trade agreement planned between the European Union and the South American Mercosur countries violates the EU climate law. The contract would lead to more greenhouse gas emissions and is therefore not compatible with either the EU climate law or the Paris Climate Agreement, said the environmental organization Greenpeace. It relies on a legal opinion commissioned by the organization itself, which is available to the German Press Agency.
The increase in greenhouse gases arises because the agreement would mean more ships and planes on the road due to more intensive trade and both sides would produce more goods. The report predicts that South America would export more agricultural products such as soy, processed meat, fish and sugar, while more industrial goods such as cars could be exported from the EU. This could “seriously jeopardize” climate goals, according to Greenpeace.
In its climate law, the EU has committed, among other things, to reducing emissions by at least 55 percent by 2030 compared to 1990 levels. The Paris Climate Agreement also stipulates that global warming should be limited to well below 2 degrees compared to pre-industrial levels, and if possible even to 1.5 degrees. All EU countries have ratified the agreement. The EU and Mercosur states would therefore have to “carry out significant renegotiations” with regard to their agreement in order to remove legal violations from the current text.
The agreement is currently on hold
The agreement, negotiations for which began more than 20 years ago, would create one of the largest free trade zones in the world with more than 700 million inhabitants. Above all, it is intended to reduce tariffs and thus stimulate trade. Although the agreement was fully negotiated in 2019, it is currently on hold. The treaty is controversial in both South America and Europe. Some countries want to protect their markets, others fear that labor or environmental standards will be weakened.
The European Commission recently stated that it would like to continue negotiations as quickly as possible in order to reach a conclusion. “In 2024, it would not only be morally irresponsible for the EU to sign an agreement that is responsible for massive amounts of CO2 and the destruction of entire ecosystems, it would also be illegal,” said Greenpeace trade expert Lis Cunha. According to the report, the agreement could be challenged before the European Court of Justice.