China and Brazil pledge to defend free trade in Beijing
China and Brazil have reached an agreement to uphold the principles of free trade during their leaders’ meeting in Beijing. On Tuesday, China and Brazil committed to upholding free trade and multilateralism, formalizing a series of agreements in Beijing aimed at bolstering their relationship in the face of global uncertainty instigated by U.S. President Donald Trump’s import tariffs.
Chinese President Xi Jinping emphasized to Brazilian President Luiz Inacio Lula da Silva the necessity for the two nations to resolutely counter unilateralism, protectionism, and “acts of bullying,” as reported by the official Xinhua news agency. Lula remarked that the relations between the two countries had “never been more necessary”. “China and Brazil are determined to unite their voices against unilateralism and protectionism,” the Brazilian leftist leader stated, as reported by Brazilian state television.
Lula is currently in Beijing for a four-day official state visit, where he is participating in a prominent forum alongside other Latin American and Caribbean leaders, such as Chile’s President Gabriel Boric and Colombia’s President Gustavo Petro. On Tuesday, Xi and Lula observed the signing of 20 agreements, which notably included eagerly awaited arrangements for increased Brazilian agricultural exports to China. Agreements were also established regarding currency swaps, mining, and sustainable nuclear energy initiatives.
In a joint statement regarding the Ukraine crisis issued on the same day, both parties asserted that direct dialogue represented the sole avenue to resolve the conflict between Russia and Ukraine, expressing their hope for its commencement at the earliest opportunity. The meeting on Tuesday marked Lula’s third engagement with Xi since the Brazilian leader’s return to power in 2023, highlighting the strengthening ties between Latin America’s largest economy and China, Brazil’s foremost trading partner.
Over the weekend, Washington and Beijing reached an agreement to temporarily reduce tariffs following discussions between Chinese and U.S. officials in Geneva. Lula, who has expressed disapproval of Trump’s trade policies, aims to enhance the exports of the South American commodity powerhouse to China, its primary export market, while also seeking to draw in Chinese investment. In a recent joint statement issued on Tuesday, the two nations acknowledged the significance of furthering their bilateral economic and trade relations, and committed to enhancing collaboration in agriculture, science, and innovation.
In anticipation of Lula’s visit, Beijing has removed restrictions on Brazilian soybean shipments from five firms that were previously suspended due to phytosanitary issues, as China aims to reduce its reliance on U.S. imports. China, which acquires more than 60% of the soybeans traded globally, obtains over 70% of its imports from Brazil.
During a business forum in Beijing on Monday, which Lula attended, Brazil’s trade and investment promotion agency reported that it facilitated the attraction of approximately 27 billion reais ($4.8 billion) in Chinese investment to Brazil.
Chinese automaker Great Wall Motor, delivery giant Meituan, and various Chinese energy, metal, and beverage companies, such as CGN Power, Envision, Mixue, and Baiyin Nonferrous Group, have declared investments in Brazil amounting to between two billion and six billion reais. The agreements encompassed a diverse array of sectors, such as sustainable aviation fuel, electric vehicles, semiconductors, insulin, and coffee beans.
In Brasilia last November, Xi and Lula elevated the status of their diplomatic relations and finalized over three dozen agreements aimed at collaboration in infrastructure, energy, agribusiness, and various other strategic sectors. They are set to reconvene in Rio de Janeiro for the BRICS summit in July, with confirmation of Xi’s attendance. Xi is anticipated to travel to Brazil for the United Nations climate summit in November, where officials predict the attendance of approximately 1,000 Chinese business leaders.
