Mercosur Summit to address flexibility, trade agreements and integration of Panama
As Uruguay prepares to hand over Mercosur’s pro tempore presidency to Argentina, this summit could define the bloc’s path forward amid global trade uncertainties
(Tuesday, December 3rd 2024) - Montevideo will host the XLV (45) Mercosur Summit on 5-6 December, bringing together South American leaders to discuss pressing regional issues. Outgoing Uruguayan President Luis Lacalle Pou will chair the meeting, along with Argentina's Javier Milei, Brazil's Luiz Inácio Lula da Silva and Paraguay's Santiago Peña. Uruguay's President-elect Yamandú Orsi will also attend.
The summit marks Milei’s first appearance at a Mercosur gathering after skipping the Asunción meeting in June, which drew criticism from Lacalle Pou. “If this is important, we should all be here,” Lacalle Pou remarked at the time.
Key topics on the agenda include the bloc’s delayed free trade agreement with the European Union (EU) and the ongoing debate over flexibilizing Mercosur’s rules to allow member countries to negotiate independent trade deals. These contentious issues are expected to feature prominently in sideline discussions.
It is expected that, regardless of the name that will occupy the Uruguayan Ministry of Foreign Affairs as of March 1, the government of the Frente Amplio (FA) lead by Orsi will continue with the line of calling for the relaxation of the bloc that characterized the current administration and that was inaugurated in the government of Tabaré Vázquez.
Panama’s integration into Mercosur will also take center stage, with the signing of three agreements. These include an economic complementation agreement and Panama’s adherence to the Ushuaia Protocol, which reinforces democratic principles within the bloc.
Panama’s President José Raúl Mulino has expressed optimism about the partnership. “We will accelerate efforts to become part of Mercosur by December. This will be a major advantage for Panama, positioning us in a higher league,” he said.
Uruguay has actively supported Panama’s inclusion, with Foreign Minister Omar Paganini emphasizing the potential for economic collaboration between the two nations.
“We are going to step up the accelerator so that in December Panama will be part of Mercosur. I hope and trust that with the support of friendly countries and under the leadership of Brazil, which has opened the door and extended a friendly hand to us, we will be partners of Mercosur and that will be of great importance to our country, because these are other leagues”, said the Panamanian president, José Raúl Mulino, in September.
As Uruguay prepares to hand over Mercosur’s pro tempore presidency to Argentina, this summit could define the bloc’s path forward amid global trade uncertainties and regional political transitions.
