Canada seeks to strengthen trade relations with Brazil through the Mercosur-Canada Free Trade Agreement while navigating challenges posed by U.S. tariffs. Ambassador Evelyne Coulombe emphasized the need for diversification in trade and highlighted sectors like oil, gas, and renewable energy as key areas for collaboration. Recent statistics reflect growth in Brazilian exports to Canada and ongoing efforts to establish new commercial opportunities in agrotechnology and beyond.

Canada is striving to enhance its trade relationships with Brazil, particularly through the Mercosur-Canada Free Trade Agreement. Canada’s ambassador to Germany, Evelyne Coulombe, expressed optimism about the potential for deepening these ties. She highlighted recent agreements with Chile and Ecuador and emphasized the need to finalize the Mercosur agreement: “I believe there are opportunities to deepen our trade relationship.”

The Mercosur-Canada partnership was initiated in March 2018, but negotiations are ongoing. Coulombe noted that economic crises often lead to new opportunities, particularly against the backdrop of the current tariff conflicts with the United States. Following President Trump’s recent tariffs on imports from Canada, which surprised Canadian officials, Canada quickly retaliated by imposing tariffs on $107 billion worth of U.S. goods.

Coulombe referred to the trade policy of the U.S. as a “shock to Canada” given the nations’ longstanding relationship. She remarked, “We were surprised to be targeted with tariffs,” explaining Canada’s investments to bolster border security and tackle issues such as migrant crossings. During her discussions, she underscored the necessity for Canada to diversify its markets: “I see this as an opportunity to develop business ties with Brazil, Germany, and Europe…and Latin America as well.”

In 2024, Brazilian exports to Canada surged by 9.44% to $6.31 billion, highlighting major products in gold, calcined alumina, cane sugar, and aircraft. Conversely, Canadian imports experienced a 17.5% decline, largely due to exchange rate fluctuations. According to Coulombe, enhanced trade could greatly benefit sectors such as oil, gas, and renewable energy through technological collaborations.

Furthermore, Canada is interested in the sugarcane industry and agrotechnology. The Brazil-Canada Chamber of Commerce recently established a developmental office in Ribeirão Preto, São Paulo, to scout new commercial opportunities. This initiative highlights Canada’s commitment to fostering economic partnerships and expanding its market presence in Latin America.

In conclusion, Canada is actively pursuing greater trade ties with Brazil, inspired by the challenges posed by U.S. tariff policies. By focusing on completing the Mercosur Free Trade Agreement and diversifying its trade partnerships, Canada aims to not only mitigate risks but also uncover new opportunities in various sectors. The commitment to fostering collaboration, particularly in technology and various industries, signifies a promising pathway forward in international trade relations between Canada and Brazil.

Original Source: valorinternational.globo.com

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