the European Union

Ōu méng

欧盟

and / with

yǔ

与

South America

Nán Měi

南美

trade / commerce

màoyì

贸易

bloc / group

jítuán

集团

Mercosur (South American trade bloc)

Nánfāng Gòngtóng Shìchǎng

南方共同市场

(possessive particle)

de

的

free trade

zìyóu màoyì

自由贸易

agreement / accord

xiéyì

协议

officially / formally

zhèngshì

正式

to take effect / to come into force

shēngxiào

生效

。

New Words

News in English

EU-Mercosur Free Trade Agreement Takes Effect After 25 Years

The free trade agreement between the EU and South Americas Mercosur bloc took effect May 1 after 25 years of negotiations. The new agreement covers some 720 million consumers and will eliminate more than 90 percent of bilateral tariffs.

The EU-Mercosur free trade agreement officially took effect on May 1st. This agreement came after 25 years of negotiations, establishing one of the world's largest free trade zones. The new trade zone covers approximately 720 million consumers with total trade value estimated at approximately $22 trillion. The agreement will eliminate tariffs on more than 90 percent of bilateral trade. European automobiles, wine, and cheese will gain better export conditions. South American beef, poultry, sugar, and soybeans will also more easily enter the European market. This agreement has drawn widespread international attention amid rising global trade protectionism.

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