A step forward for the EU-Mercosur Trade Agreement: trade provisions to kick in as of 1 May 2026

A step forward for the EU-Mercosur Trade Agreement: trade provisions to kick in as of 1 May 2026

Posted on 07.04.2026

Following two recent Council decisions authorising the signature of the EU-Mercosur Partnership Agreement (EMPA) and the Interim Trade Agreement (iTA), and the European Parliament's decision to request an opinion from the European Court of Justice (ECJ) on the legality of the texts, the European Commission has confirmed that it will proceed with the provisional application of the agreement as of 1 May 2026. This provisional application of iTA will cover the trade-related provisions, including tariff reductions.

At present, Argentina, Brazil, and Uruguay have submitted their notifications, while Paraguay, the legal custodian of Mercosur, has ratified the agreement and is expected to notify shortly. Mercosur is a rapidly growing market with strong demand for healthcare solutions. The agreement does not contain a dedicated medical technology chapter, though several horizontal market access provisions are relevant for the sector. The most tangible benefits are expected to come from phased tariff reductions, which today are considerable (up to 16%), and are expected to be phased out with staged implementation for majority of medical devices in Mercosur.

Beyond that, significant benefits are expected to derive from the national treatment for EU originating medical technologies, meaning that devices from the EU must receive treatment no less favourable than local medical devices in Mercosur markets. Rules of origin offer flexibility for companies with complex supply chains to benefit from preferential tariffs. Other benefits include more transparency in access to public procurement, promotion of international standards and stronger intellectual property protection among others.

The provisional agreement will remain in force until the EU completes its full ratification process of the EU-Mercosur Partnership Agreement, which can only proceed once the ECJ has issued its opinion confirming that the agreement complies with EU law. MedTech Europe will monitor the implementation of the agreement and leverage opportunities to strengthen cooperation with Mercosur countries in the context of sector regulations.

For more information, please contact Alice Bova, Senior Officer International Affairs.