Saturday's signing ceremony in Paraguay's capital of Asunción marks a major geopolitical victory for the EU in an age of American tariffs and surging Chinese exports. 'The geopolitical importance of this agreement cannot be overstated,' said Commission President Ursula von der Leyen.

This is the first major trade agreement for Mercosur, which includes Brazil and Argentina, along with Paraguay and Uruguay.

La UE y el Mercosur firmarán finalmente este sábado en Paraguay el acuerdo que creará la mayor zona de libre comercio del mundo.