In June 2019, an agreement in principle on trade could be concluded between the EU and Mercosur. Lasting more than 20 years the negotiations were marked by political and economic shifts on both sides as well as a dramatically changed global environment. By creating the largest free trade area, the agreement is heralded by some as an important political signal against protectionism, while others fear detrimental social, environmental, and economic impacts. In this study, representatives of trade unions, human rights organisations, environmentalists and critical economists and social scientists from Brazil assess the advantages and disadvantages the agreement might have on the country and outline potential improvements.