Subject: Impact of the EU-Mercosur free trade agreement on the competitiveness of EU companies
France’s opposition to the EU-Mercosur free trade agreement is justified. This draft agreement poses a serious threat to our food and environmental sovereignty. We have to protect our farmers against products that do not comply with the standards applied within Europe.
There are also legitimate concerns about the agreement’s impact on the competitiveness of EU firms and fairness in international trade. This agreement could distort competition as a result of the discrepancy in the social and environmental standards in the two regions. Allowing products that do not meet our standards to enter the EU would weaken our farmers and the most vulnerable sectors.
The competitiveness of EU firms is thus at risk from products from countries where the social and environmental standards are much less rigorous. Competition with less regulated countries undermines our competitiveness and the economic balance in the EU, irrespective of the repeated assurances from the Commission, which appear to be insufficient.
In view of this:
1. How will the Commission assess and prevent the economic and social impact of the EU-Mercosur free trade agreement on the vulnerable sectors of the EU economy?
2. What steps will it take to support our producers who are at risk from distortions of competition?