Summary
The article discusses the potential for a new phase of economic integration in Latin America and the Caribbean (LAC) in the mid-2020s, reminiscent of a similar period in the mid-1990s. The changing global trade architecture, accelerated by events such as the COVID-19 pandemic and geopolitical tensions, has led to a shift in trade policies among major global economic powers. The weakening of multilateralism has resulted in a more fragmented trade framework. In this evolving landscape, the article highlights the importance of the EU-Mercosur Association Agreement (AA) as a catalyst for change in regional integration dynamics. The agreement, while facing obstacles related to environmental concerns and competitive threats, holds the potential for economic, environmental, and social gains. Furthermore, the article underscores the EU-Mercosur AA's significance in strengthening LAC's strategic bargaining power in trade negotiations and promoting intra-regional integration. In conclusion, the article emphasizes the critical timing of this opportunity for both the EU and LAC to deepen their cooperation and engagement in the evolving global trade environment.