Mercosur is the fourth largest economic bloc in the world and is comprised of Argentina, Brazil, Paraguay, and Uruguay. In terms of GDP, Mercosur is € 2.7 trillion, representing 82% of the total GDP of all of South America. It covers a territory of almost 13 million square kilometers and has more than 275 million inhabitants, that is, nearly 70% of South America's population. More than 30,000 small European companies export to this region. The new EU-Mercosur trade agreement was formalized through the implementation of two important legal instruments.