Mercosur is the world's fourth-largest trading bloc.
South America's leading trading bloc, Mercosur, is the largest trading bloc in South America. Its name is short for Mercado Común del Sur, or Common Market of the South.
History
The heads of state of Argentina, Brazil, Paraguay and Uruguay established Mercosur in 1991. Those countries formalized a customs union and wider international status in 1994 with the treaty of Ouro Preto, according to the British Broadcasting Service.
Members
Argentina, Brazil, Paraguay and Uruguay are full members. Venezuela's entrance into Mercosur as a full member is still awaiting approval by Brazil and Paraguay. Bolivia, Chile, Colombia, Ecuador and Peru are associate members; they can join free-trade agreements but they remain outside the bloc's customs union.
Goals
The Mercosur trade bloc's purpose, as stated in the 1991 Treaty of Asunción, is to allow for free trade between member states, with the ultimate goal of full South American economic integration, according to the Council on Foreign Relations.
