South America's Mercosur trade bloc and the European Union should shelve talks over a free trade agreement, with current environmental demands from the EU 'unacceptable', Paraguay's President-elect Santiago Pena told Reuters.
President-elect of Paraguay Santiago Pena attends a press conference after meeting with Brazil's President Luiz Inacio Lula da Silva at the Alvorada Palace, in Brasilia, Brazil July 28, 2023. REUTERS/Adriano Machado
The comments, Pena's strongest on the trade talks since winning election in April, underscore rising tensions as the European and South American blocs race to finalize a deal, long delayed due to doubts over Brazil's climate action commitments. "What the European Union has to do is come clean about whether or not it wants to move forward with a free trade agreement. Today I question whether they have genuine interest."
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