Macron Warns Lula: France Will Only Sign Mercosur Trade Deal if Agricultural Interests are Protected

Web Editor

August 20, 2025

a man in a suit and tie giving a speech at a podium with flags behind him and a microphone in front

Background on Key Figures and Relevance

Emmanuel Macron, the President of France, and Luiz Inácio Lula da Silva, the President of Brazil, recently engaged in a conversation regarding the potential free trade agreement between the European Union (EU) and Mercosur, an economic bloc comprising Argentina, Brazil, Paraguay, and Uruguay. This discussion is significant as France’s stance could heavily influence the agreement’s progression.

Macron, known for his commitment to protecting French agricultural interests, has expressed reservations about the proposed trade deal. Meanwhile, Lula remains persistent in his pursuit to finalize this agreement during his presidency, which coincides with Brazil’s leadership of Mercosur this semester.

Key Points from the Conversation

  • Macron’s Condition: France will only sign the trade deal if it safeguards French and European agricultural interests.
  • Lula’s Persistence: Despite Macron’s hesitation, Lula insists on concluding the dialogue and signing the agreement this semester.
  • Agreement Status: The deal remains stalled due to France’s reluctance, even though it requires approval from all 27 EU member states (unanimity is not necessary).
  • Additional Topics Discussed: The leaders also addressed international issues, including the ongoing war in Ukraine.

Agreement on International Issues

Both Macron and Lula emphasized the importance of multilateralism in resolving global conflicts, specifically focusing on achieving a “just and lasting peace” in Ukraine that includes robust security guarantees for both Ukraine and Europe.

Lula also voiced his displeasure with the unjustified tariffs imposed by the United States on Brazil. He informed Macron about Brazil’s response measures, including filing a complaint with the World Trade Organization (WTO).

Key Questions and Answers

  • Q: What is the current status of the EU-Mercosur trade deal?
    A: The agreement remains unratified due to France’s concerns about protecting its agricultural sector.
  • Q: How has Lula responded to Macron’s reservations?
    A: Despite Macron’s hesitation, Lula remains committed to finalizing the trade deal during his presidency.
  • Q: What other topics did Macron and Lula discuss?
    A: The leaders addressed the war in Ukraine and emphasized the significance of multilateralism for resolving global conflicts.
  • Q: How has Brazil reacted to U.S. tariffs?
    A: Lula expressed dissatisfaction with the unjustified tariffs and informed Macron about Brazil’s response measures, including a WTO complaint.

This conversation between Macron and Lula highlights the complexities of international trade negotiations, as well as the importance of addressing both economic and geopolitical concerns in shaping global partnerships.