On December 6, 2024, the European Union (EU) and Mercosur signed a trade agreement that still needs approval from the European Parliament and EU member states. In 2024, the Netherlands was the largest EU importer of goods from Brazil, Argentina, and Uruguay, and the second-largest from Paraguay. Additionally, the Netherlands ranks as the third-largest EU exporter to Mercosur countries, following Germany and Italy.

The four Mercosur countries collectively account for 1.8% of the total Dutch goods imports and 0.7% of exports.

The composition of goods traded by the Netherlands varies per country and trade flow. The Netherlands mainly imports raw materials, fuels, food, and beverages, while exports are dominated by chemicals and machinery.

Important import goods include crude oil and animal feed (Brazil, Argentina), soybeans (Brazil), peanuts (Argentina, Paraguay), wood pulp (Uruguay), and beef (Argentina, Uruguay).

On the export side, products include oil products, pharmaceuticals (all countries), ships (Paraguay), and vehicle parts (Brazil).

Netherlands as Europes Gateway for Mercosur Countries

The fact that the Netherlands imports more goods from Mercosur countries than any other EU country is largely due to its distribution function. A significant portion of imports is immediately re-exported to other European countries, while another substantial part is indirectly exported. For example, Brazilian soybeans are processed into animal feed in the Netherlands and then exported to Germany.

Of the total goods imports (excluding quasi-transit) from Mercosur countries in 2023, only a relatively small part is destined for the Dutch market: 17% from Brazil, 16% from Argentina, 15% from Uruguay, and just 7% from Paraguay.