Mercosur -EFTA sign free trade agreement amid Trump's protectionism

Mercosur and the European Free Trade Association (EFTA) signed a free-trade agreement on Tuesday, opening up a market of 300 million people in what Brazil described as a “clear signal” against Washington’s protectionist policies.

The treaty covers Switzerland, Norway, Iceland and Liechtenstein on the EFTA side, and Argentina, Brazil, Uruguay, Paraguay and Bolivia for Mercosur, markets with a combined GDP of around US$4.3 trillion. According to a joint Mercosur-EFTA statement, the deal means that over 97 percent of exports on both sides will enjoy improved market access, boosting bilateral trade.