The relations between Latin America and the European Union (EU) have evolved quite substantially over the decades. From non-preferential agreements, the relations between both regions have become strategic and deal with many issues, besides those related to trade. Political dialogue, social cohesion, academic co-operation are all part of the structural bi-regional package. However, the question is, in how far are these other issues really relevant for this bi-regional cooperation, as the actions of the United States of America (USA), lead to reactions of the EU. These are concentrated in the trade area. Furthermore, the negotiations in the World Trade Organization seem also to play a foremost role in the attitude of the EU Agricultural subsidies by the industrialized world form a major obstacle in the progress of north-south negotiations. The south, therefore, does not want to yield in areas of government procurement, services and investments. Trade is still the most important aspect of the EU-Latin American bilateral co-operation and is the key to successful bi-regional co-operation. The very varied and extensive relations between the EU and Latin American do, however, set them apart from all others. Key-words: