EU Lawmakers Halt Trade Agreement Over Legal Concerns

The European Union lawmakers blocked the EU-Mercosur free trade agreement, sending it to Europe's top court over legality concerns. The close vote reflected ongoing apprehension about the deal, aimed at bolstering trade ties amid global protectionist trends, recently signed to strengthen commerce between the EU and South America.

In a significant move, European Union lawmakers on Wednesday obstructed the progress of a major free trade agreement with the Mercosur group of South American countries. This decision, motivated by legality concerns, casts uncertainty on the future of the EU-Mercosur deal.

The contentious vote took place in Strasbourg, France, where legislators narrowly decided to refer the EU-Mercosur agreement to Europe's highest court. The court is expected to determine the deal's compliance with the bloc's treaties. The lawmakers voted with 334 in favor, 324 against, and 11 abstentions.

The deal, just signed into effect on Saturday, was intended to cement commercial partnerships amid a global rise in protectionism and trade disputes. Now, its future hangs in the balance as legal scrutiny looms.

(With inputs from agencies.)