RELATIONS WITH THE EU
The European Union and Uruguay
Relations between the European Union (EU) and Uruguay have intensified since the Framework Cooperation Agreement was signed in 1992, improving political and economic dialogue, and at a regional level since the conclusion of EU-Mercosur Association Agreement negotiations in 2019. This last Agreement constitutes a clear commitment on the part of both blocs to rules-based international trade and will give firms and consumers from both sides a significant advantage at international level.
Political Relations
The EU and Uruguay signed a Framework Cooperation Agreement in 1992 to promote bilateral relations with the aim of increasing cooperation with regard to trade, finance and technology, among other things. The agreement implies regular meetings through Joint or Mixed Committees for the purposes of sharing information and discussing topics of interest. The most recent meeting of the Joint Committee took place in Montevideo on 16 November 2021.
Following the 1992 agreement, bilateral relations have expanded, and fostering relations with the EU has become a priority of Uruguay's foreign policy.
Bilateral relations acquired a new dimension with the EU's support for the Mercosur regional integration process and with the conclusion of EU-Mercosur negotiations towards an association agreement in 2019, which - in addition to the trade objectives - aims to intensify political and cooperation relations between the two blocs.
Economic and Trade Relations
Trade relations between the EU and Uruguay are governed by the 1992 EU-Uruguay Cooperation Framework Agreement. As a member of Mercosur, Uruguay is also a Party to the EU-Mercosur Inter-regional Framework Cooperation Agreement signed in 1995, which includes provisions on trade cooperation. Trade is a pillar of the strategic European Union - Mercosur Association Agreement, whose negotiations concluded in 2019, but which is still awaiting signature and ratification.
The EU is a key trading partner for the country, both in services and in goods. Exports of goods from the EU to Uruguay are mainly machinery and chemicals and imports are mainly pulp of wood, paper and paperboard and animal products. The EU has established itself in recent years as the leading investor in Uruguay, with about 40% of FDI. Companies such as Bader, Bayer, Banco Santander, BBVA, Enel, Katoen Natie, Montes del Plata, MoviStar, Sofitel and UPM, among others, are active players in the Uruguayan economy and a proof of the great potential for European investment in the country.
The European business voice in Uruguay is organized in the Eurocámara Uruguay, made up of the binational chambers of EU Member States present in Uruguay. Eurocamara Uruguay is part of the EU InsPYraME Project.
Are you interested in exporting to the EU or importing from the EU? All the information you need to know to trade with the EU is available on the Access to Markets platform, particularly the details of tariffs, taxes, procedures, requirements, rules of origin, export measures and statistics.
Technical and financial cooperation
EU cooperation with Uruguay strengthens our partnership to combat global challenges and work together around the priorities we share, such as climate change and digitalisation.
Uruguay benefits from EU cooperation programmes, such as regional programmes for Latin America (EUROCLIMA, EUROSOCIAL, EL PAcCTO, COPOLAD, ADELANTE and AL INVEST, among others), thematic programmes which support civil society and promote democracy & human rights, and academic or scientific support & exchange programmes, such as Horizon Europe and Erasmus+.
In 2021, the EU launches a new strategy, named Global Gateway, to build more resilient connections with our partners around the world. The aim is to support smart investments in quality infrastructure in sectors such as digital, energy, transport, health, education and research.
Human rights, democracy and rule of law
Uruguay is an established and effective democracy. It enjoys considerable political and economic stability, with a robust rule of law. It is considered one of the most transparent and least corrupt countries of the world. The overall human rights situation in Uruguay remains positive and stable, with fundamental freedoms and human rights respected overall.
EU action focuses on the following key areas:
- Eradicating all forms of violence and discrimination against women.
- Promoting gender equality and cultivating an overall environment of non-discrimination, with special attention to the LGBTIQ community, persons with disabilities, elderly and Afro-descendants.
To this effect, the EU Delegation in Uruguay engages proactively with the Uruguayan civil society, in particular through the annual structured dialogue, and carried out several major public events.
In 2018, the EU Delegation launched an EU Human Rights Award to mark the 70th anniversary of the Universal Declaration of Human Rights. The Award has been granted annually since then. It provides well-deserved visibility to the Uruguayan civil society and is an occasion to strengthen relations between the EU and key Uruguayan human rights institutions and civil society organisations.
See the situation in Uruguay as informed in the latest EU annual report on Human Rights and Democracy.
Humanitarian Aid
The EU has a strategic plan for humanitarian aid for Uruguay through the disaster preparedness programme (DIPECHO).
Through its humanitarian aid, the European Commission not only provides assistance in emergencies, but also seeks to ensure that advance preparation is in place for the risk of natural disasters.
The range of projects includes training, awareness-raising, risk mapping, emergency plans, early-warning systems and mitigation projects.