EU Votes to Halt Landmark Free Trade Deal with Mercosur

EU lawmakers have stopped the major free trade deal with South America's Mercosur over legal concerns. Despite this, the EU's executive branch can apply the deal temporarily. Supported by South American nations, the agreement aims to reduce tariffs significantly, creating a vast free trade zone.

In a narrow vote, European Union lawmakers have decided to block a significant free trade agreement with the Mercosur group, comprising South American countries, due to questions about its legal validity.

The EU-Mercosur deal, which was 25 years in the making and signed with great enthusiasm, seeks to reduce tariffs on a vast array of goods, facilitating one of the world's largest free trade zones.

However, before the European Parliament can ratify the pact, the European Court of Justice must review its alignment with EU treaties. Meanwhile, the EU's executive body may apply the agreement provisionally.

(With inputs from agencies.)