South America’s Mercosur union signed a new trade deal with European Free Trade Association (EFTA) countries Iceland, Liechtenstein, Norway, and Switzerland, in a move aimed at countering destabilisation from US tariffs. The deal follows a similar deal made by Mercosur, an organisation that includes Brazil, Argentina, Uruguay and Paraguay, with the European Union. The current agreement covers goods, services, investment, and intellectual property rights, as well as other sectors. The hope for Mercosur countries is that the trade deal will help them demonstrate their goodwill to the EU and encourage them to adopt EU standards in crucial areas, such as food and health standards. According to some observers, this Brazilian push for multilateral trade deals is an answer against Donald Trump’s aggressive stance on the country.