Paraguayan President Santiago Pena said on Monday he will break off negotiations between Mercosur and the European Union if the parties do not reach a deal before Dec. 6, when Brazil will hand over the bloc's presidency to Paraguay.
The Paraguayan leader said he had told Brazilian President Luiz Inacio Lula da Silva in a meeting last week in New York, where they traveled for the United Nations General Assembly, that he planned to seek alternative options.
"If he does not close, I am not going to continue in the next semester," Pena told a press conference, adding he would dedicate the time instead to seeking trade agreements with other regions. "I am sure we will reach a deal with other regions very quickly," he added, pointing to Singapore and the United Arab Emirates as potential trade partners.
Lula, as well as EU Ambassador to Paraguay Javier Garcia de Viedma, have said they believe an EU-Mercosur deal was feasible by the end of 2023. "I think we are very close," Garcia de Viedma told reporters on Monday. "If there is political will from the negotiators, I think we will manage it by the end of this year."
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