Key facts
- Switzerland's lower house of parliament rejected the Mercosur free trade agreement.
- The vote was 96 to 86 against the deal, with nine abstentions.
- Opposition stemmed from both conservative and left-wing political parties.
- Concerns included farmers' interests, labor practices, and environmental issues like rainforest destruction.
- The agreement was negotiated between EFTA states and Mercosur nations (Argentina, Brazil, Paraguay, Uruguay).
- The deal now proceeds to the upper chamber of parliament.
Switzerland's lower house of parliament has rejected a free trade agreement with the South American trade bloc Mercosur, following opposition from across the political spectrum. Lawmakers voted 96 to 86 against the accord, with nine abstentions, citing concerns over farmers' interests, labor practices, and environmental issues such as rainforest destruction.
The deal, struck last year between the European Free Trade Association (EFTA) states (Switzerland, Iceland, Liechtenstein, and Norway) and Mercosur members (Argentina, Brazil, Paraguay, and Uruguay), aimed to make 96% of Swiss exports to Mercosur duty-free. Switzerland had offered 25 bilateral import quotas for sensitive agricultural products.
Economy Minister Guy Parmelin defended the agreement, but the National Council ultimately rejected it. Opposition came from the Social Democratic party, the Greens, and parts of the Swiss People's Party and the Center faction. Amendments related to accompanying measures for farmers and the adoption of the EU Deforestation Regulation were also rejected during the debate.
The bill will now move to the upper chamber, the Council of States, for consideration. If approved there, it could return to the lower house for a second vote.