The Council of the European Union adopted a series of acts by written procedure in January 2026, including the signing of the EU-Mercosur Partnership Agreement and Interim Trade Agreement, restrictive measures on Guatemala and against supporters of Hamas and Palestinian Islamic Jihad, and an update to the European High Performance Computing Joint Undertaking (EuroHPC) regulation.
On 9 January 2026, the Council amended Decision (CFSP) 2024/254 and Regulation (EU) 2024/287 on restrictive measures concerning Guatemala, published in the Official Journal as L, 2026/88 and 2026/87. The same day, the Council adopted decisions on the signing, provisional application, and conclusion of the EU-Mercosur Partnership Agreement and the Interim Trade Agreement with Argentina, Brazil, Paraguay, and Uruguay. Hungary issued a national statement opposing both agreements, citing negative impacts on agriculture, concerns over genetically modified organisms, and insufficient safeguards for smaller markets. The Hungarian statement does not block the agreements' adoption but signals political opposition.
On 16 January 2026, the Council amended Decision (CFSP) 2024/385 and Regulation (EU) 2024/386 on restrictive measures against those supporting Hamas and the Palestinian Islamic Jihad. Also on 16 January, the Council amended Regulation (EU) 2021/1173 on the European High Performance Computing Joint Undertaking, updating the legal framework for the EuroHPC initiative.
The January 2026 acts reflect the Council's continued use of written procedures to advance trade, sanctions, and technology policy. The EU-Mercosur agreements, long under negotiation, now move to the European Parliament for consent and to member states for ratification. The restrictive measures on Guatemala and Hamas/PIJ extend existing sanctions regimes, while the EuroHPC update aims to strengthen EU computing capabilities.
EU exporters and Mercosur producers stand to benefit from reduced tariffs under the trade agreements, though EU agricultural sectors, particularly beef and sugar, face increased competition. Hungarian farmers may face disproportionate pressure, as flagged by Budapest. The sanctions updates impose compliance costs on EU businesses operating in Guatemala or with entities linked to Hamas/PIJ. The EuroHPC amendment supports EU research institutions and high-tech industries by streamlining joint computing investments, but requires continued national contributions.