Mercosur is set to benefit from new trade agreements and reduced internal restrictions as economies around the world react to increased U.S. protectionism, and while ideological differences will challenge the bloc, business pressure will prevent a complete rupture. In its biannual summit in Buenos Aires on July 2-3, South America's largest trading bloc relaxed rules and gave member countries more autonomy to determine exceptions to common import tariffs. These changes will allow Mercosur members to increase or reduce duties on specific goods to either protect local manufacturers, alleviate prices or facilitate narrow trade agreements with other countries, such as the one Argentina is currently discussing with the United States. The summit also led to the conclusion of a free trade agreement (FTA) with the European Free Trade Association, which comprises Iceland, Liechtenstein, Norway and Switzerland. This negotiation follows the finalization of similar deals with the European Union in December 2024...
