The EU Parliament puts the brakes on Mercosur, requests the opinion of the EU Court of Justice

The European Parliament has decided to ask the European Court of Justice to assess whether the EU-Mercosur agreement complies with EU Treaties. This move blocks the European Parliament's ratification vote and opens a phase of legal and political uncertainty over one of the EU's most ambitious trade agreements.

With 334 votes in favour, 324 against and 11 abstentions, Members of the European Parliament adopted a resolution calling for a legal opinion from the Court of Justice (CJEU) on the agreement. A second resolution, which also sought a legal assessment, was rejected with 225 votes in favour, 402 against and 13 abstentions.

The legal basis of the EU-Mercosur Partnership Agreement (EMPA) and the interim Trade Agreement (iTA) will now be examined by the Court of Justice, according to the provisions contained in the adopted text. Pending the Court's opinion, the European Parliament may continue examining the texts but must await its publication before being able to approve or reject the iTA. This process could take months.

The iTA, which falls under exclusive EU competence, is indeed subject only to ratification at Union level; this will require the European Parliament's consent and the Council's final formal approval, after which it may enter into force. The iTA will cease to apply once the EMPA enters into force.