The European Union and South America's Mercosur bloc are expected on Friday to finalise a free trade agreement but it faces a tortuous battle for approval in Europe given firm French opposition.
After negotiations spanning more than 20 years and five years on from an initially inked deal, European Commission President Ursula von der Leyen and her Mercosur counterparts are due to announce a political agreement at 9.30 a.m. (1230 GMT) in Montevideo, capital of Uruguay.
Von der Leyen flew in on Thursday ahead of the planned summit of the bloc including farming powerhouses Brazil and Argentina as well as Uruguay and Paraguay, just hours after French President Emmanuel Macron's government collapsed.
France, the most vociferous critic of the deal in the EU, slammed it as "unacceptable" and diplomatic sources said the European Commission was taking a big risk, with approval by EU members far from certain.
European farmers have repeatedly protested against an EU-Mercosur deal that they say would lead to cheap imports of South American commodities, notably beef, that do not meet the EU's green and food safety standards.
Italy said on Thursday there were no conditions for signing off on a deal. Poland said last week it opposed the free trade deal in its current form.
European green groups also broadly oppose the accord. Friends of the Earth calls it a "climate-wrecking" deal.
Conversely, a group of EU members including Germany and Spain say the deal is vital for the bloc as it looks to diversify its trade after the near-closure of the Russian market and discomfort about reliance on China.
They see Mercosur as a market for EU cars, machinery and chemicals and a potentially reliable source of critical minerals, such as battery metal lithium, required for Europe's green transition.
They also point to agricultural benefits, given the deal offers greater access and lower tariffs for EU cheeses, ham and wine.
The trade agreement would require approval from 15 of the 27 EU members representing 65% of the EU population along with a simple majority in the European Parliament.
South American negotiators remain optimistic that the EU will eventually give its approval and that France will not be able to rally a blocking minority.
