European Commission President Ursula von der Leyen’s first major move in her second term has ignited a deepening rift between France and Germany, threatening the foundations of the European Union. Von der Leyen, a German herself, traveled to Uruguay on Thursday in an effort to finalize a landmark trade deal with South America, which Berlin sees as crucial for its struggling manufacturing sector.
The Mercosur agreement is seen as a key opportunity for Germany to find new markets and boost economic growth. The influential VDA car lobby described the deal as “central importance” to securing it. However, France has long opposed the agreement, sparking tensions between the two nations. Von der Leyen’s optimism that the deal was finally within reach has fueled frustration among French officials, who fear the accord will harm their country’s interests.
Source: https://www.politico.eu/article/france-germany-fight-over-south-american-trade-deal-mercosur-threatens-eu-rupture