Brazil is a potential supply chain partner, say USA By Poder360

2023-12-16 00:53:09

Brazil is a potential supply chain partner, says US

The United States Secretary of Commerce, Gina Raimondo, stated this Friday (Dec 15, 2023) that her country considers Brazil as a “potential partner” in the discussion about supply chains.

In a conversation with journalists, held after the 12th meeting of the forum of Brazilian and North American CEOs, Raimondo said that a series of factors make Brazil “even more attractive” for so-called “friendshoring”. The term refers to the search for countries that share the same values ​​and interests for trade agreements.

According to the secretary, the United States understands that production chains can no longer depend on a single origin.

“The reality is that, although we are working to secure part of our supply chain, especially semiconductors, we cannot do everything in the USA. Which means we are betting on cooperation with our allies around the world for ‘friendshoring’ and Brazil is at the top of that list,” he stated.

Raimondo cited as positive points the sharing of the same values, the geographic proximity between the countries and Brazilian efforts to have a “stable economy” with controlled inflation, in addition to Brazil having what he called a “strong democracy”.

He also gave as an example Brazilian fiscal responsibility, the export of critical minerals and tax reform, which the Chamber of Deputies will vote on this Friday (Dec 15).

The US secretary also stated that the commercial relationship between Brazil and the US will enter a new era. “Brazil is a powerhouse in agriculture, climate technology, minerals and the areas that are now growing the most in the global economy,” she said.

GERALDO ALCKMIN

The vice-president and minister of Industry and Commerce, Geraldo Alckmin (PSB), also participated in the event. In his statement to journalists, he called the CEO forum “wonderful”. According to him, the meeting was a “great opportunity” for discussions about supply chains.

“We can have enormous complementarity with the USA in the area of ​​sustainability with biofuels. […] I think the CEO forum will be a platform that will attract even more investments and strengthen this good relationship between Brazil and the United States,” he said.

Alckmin also highlighted that the USA is Brazil’s largest economic partner in goods, services and investments. He also stated that the country is a protagonist in the main topics discussed in the world, citing food security, energy security and climate.

Regarding the environmental agenda, the vice-president stated that President Luiz Inácio Lula da Silva (PT) is committed to decarbonization. “Brazil’s objective is zero illegal deforestation and the restoration of areas of the biome with the Climate Fund,” he said.

CEO FORUM

The event was created in 2007 and brings together 12 CEOs from Brazilian companies and another 12 executives from North American companies. They are responsible for formulating and presenting recommendations to the Brazilian and US governments.

At the meeting this Friday (Dec 15), the recommendations (full – PDF – 371 kB, in English) focused on 6 areas. Are they:

supply chain resilience; energy, environment and circularity; food security and sustainable agriculture; cybersecurity, critical infrastructure and digital policy; education and workforce development; and space and aeronautics.

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