Brazil and Mexico seek to expand trade amid the uncertainties of tariff

In search of the expansion of markets and narrowing relations with Latin American countries, a delegation of ministers led by Vice President Geraldo Alckmin, holder of development, industry and commerce, fulfills a series of agendas with authorities and entrepreneurs in Mexico starting on Wednesday (27). The main commitment is the meeting with President Claudia Sheinbaum, on Thursday (28).

The search for closer approach happens amid the tariff imposed by Donald Trump who, in the case of Brazil, goes beyond trade relations, as the US president has blackmail the Brazilian authorities regarding the process against Jair Bolsonaro and other topics, such as the regulation of big techs.

Also read: Trump’s instability makes 50% rates unknown in Brazil

“Mexico is an important partner for Brazil. The visit is a strategic opportunity to deepen our political dialogue and, especially, to open new trade and investment fronts that will generate prosperity for our peoples,” says the vice president.

“We will meet with the government and the private sector to unlock opportunities in areas such as industry, agribusiness and health, strengthening regional productive integration,” adds Alckmin, who leads the mission.

The Brazilian entourage is formed by the Ministers of Agriculture and Livestock, Carlos Fávaro; of planning and budgeting, Simone Tebet; and the secretary general of the Ministry of Foreign Affairs, Maria Laura da Rocha. Also participating in the presidents of APEXBRASIL, Jorge Viana; from Conab, Edegar Pretto; from ANVISA, Leandro Safatle; and representatives of the Ministry of Health, Fiocruz and Instituto Butantan; In addition to businessmen and the National Confederation of Industry (CNI).

Relations and Potential

Relations between the two commercial countries, although significant, still have room to develop more. And for Mexico, expanding business with Brazil can be even more strategic amid Trump instabilities. After all, currently 84% of its exports are intended for the US-in the case of Brazil, the percentage of sales to the US is only 12%.

Today, Brazil sells more to Mexico than it buys. Brazilian exports totaled US $ 7.8 billion, with highlights for sales of passenger cars, poultry meat and its offal and vehicles for transportation of goods.

Mexican product imports by 2024 totaled US $ 5.8 billion, with highlights for parts and accessories of vehicles, passenger cars and car transport cars. Trade between them, therefore, added $ 13.6 billion last year.

One of the focuses of the visit is Brazil’s participation in Plan Mexico, set of initiatives announced by Sheibaum earlier this year to strengthen the country’s industry and competitiveness.

Within this plan, Brazil can have good opportunities in various areas. According to APEX (Brazilian Agency for Export and Investment Promotion), the focus of technology and artificial intelligence, infrastructure and the products of the Mexican basket are focused above all.

In the case of Mexico, the goal is to expand sales of products that today will mostly to the US, such as cars, commodity vehicles and their parts processing parts and machines, among others.

With agencies