The European Commission will begin provisional implementation of the EU-Mercosur trade deal, European Commission President Ursula von der Leyen announced Friday, despite ongoing opposition and a judicial review initiated by the European Parliament. The agreement, which aims to create a free-trade area covering more than 720 million people across the EU and the South American Mercosur bloc - including Brazil, Argentina, Paraguay, and Uruguay - has been in negotiation for 25 years and remains highly controversial. Critics, led by France and Poland, argue the deal risks exposing European farmers to unfair competition, while Germany and other proponents highlight the potential to open Latin American markets to European exporters.

Von der Leyen emphasized that the deal gives Europe a strategic first-mover advantage in a competitive global economy and offers opportunities that were previously unattainable for European companies. She said the Commission has discussed the move extensively with EU member states and MEPs, and while the European Parliament referred the agreement to the Court of Justice of the European Union in January - effectively delaying final ratification - the Commission retains the legal right to apply the deal provisionally once Mercosur countries complete their approvals. Argentina and Uruguay ratified the agreement Thursday, enabling the EU to proceed.

The decision to move forward with provisional application breaks a more than decade-long practice of waiting for a day for the European Parliament before implementing trade agreements, a move that could heighten tensions with skeptical lawmakers and capitals. Von der Leyen insisted the Commission will continue cooperating with all EU institutions to ensure transparency and a smooth process, describing the Mercosur deal as one of the most consequential agreements of the first half of this century. Italy’s Foreign Minister Antonio Tajani welcomed the move, noting its potential to boost Italian exports and economic growth, while opponents remain concerned about long-term impacts on European agriculture and the balance of trade.