Macron Rejects EU-Mercosur Deal, Citing Threat to France’s Farming Sector

French President Emmanuel Macron’s office declared on Thursday that a draft agreement between the European Union and South America’s Mercosur bloc is “unacceptable.” The statement came as European Commission President Ursula von der Leyen arrived in Uruguay to finalize the deal, which includes major agricultural exporters Brazil and Argentina.

Macron informed von der Leyen that France cannot accept the deal in its current form, citing concerns over its impact on the French farming sector. The deal, which has strong backing from most South American countries and is championed by Germany and Spain within the EU, has faced stiff opposition from Paris. The primary concern in France is that cheaper agricultural imports resulting from the agreement could harm local farmers.