Germany's Merz backs contested Mercosur trade deal

German Chancellor Friedrich Merz on Wednesday voiced support for the planned Mercosur free trade agreement with four Latin American counties, calling it a way to "strengthen the European Union's single market."

"The European Union's ability to act is also measured by whether, after 26 years of negotiations, we are finally in a position to conclude this trade agreement," Merz said in an address to lawmakers.

EU leaders hope to endorse the Mercosur deal at a summit in Brussels on Thursday. The agreement is intended to boost trade between the EU and the four Mercosur countries: Brazil, Argentina, Uruguay and Paraguay.

Negotiations were concluded in December 2024, after 25 years of talks, amid a push in the EU to diversify trade as relations with the United States and China had become troubled.

However, France, a long-time critic of the deal, has already called for further changes and a delay to the decision. Poland and Italy are also sceptical of the agreement.

Those who "nitpick" at major agreements in the current situation have not understood the priorities correctly, Merz warned.