Brazilian President Luiz Inácio Lula da Silva announced on Friday that Vietnam may purchase Embraer aircraft and serve as a regional hub for Brazilian meat processing. The statement came after his meeting with Vietnamese President Luong Cuong in Hanoi.
Lula formally recognized Vietnam as a market economy, invited the country to attend a BRICS summit in Brazil later this year, and expressed support for a Mercosur trade deal with Hanoi.
His visit comes as Vietnam, under U.S. pressure to reduce its trade surplus, seeks to increase imports from the United States. Brazil, a leading exporter of soybeans, could see its agricultural exports to Vietnam grow as a result.
During a joint media conference, Cuong said Vietnam is “seriously considering” allowing Brazilian beef into its market. Lula emphasized that opening Vietnam’s market to Brazilian beef could attract investment from Brazilian meat companies, turning the country into a meat export hub for Southeast Asia.
Brazilian food giant JBS is reportedly exploring the construction of its first Asian meat-processing plant in northern Vietnam, pending market access approval, according to sources cited by Reuters last week.
Lula also noted that Vietnam Airlines is “positively assessing Embraer’s offer” for regional jets. A Brazilian official told Reuters last week that the airline is considering purchasing ten Embraer E190 narrow-body jets. Neither Vietnam Airlines nor Embraer has publicly commented on the negotiations.
Lula is accompanied by a large business delegation, including representatives from Embraer and JBS. The two nations signed a five-year action plan covering defense, agriculture, energy, and technology, along with agreements on football cooperation.
Additionally, Lula invited Vietnam to the BRICS summit in Brazil this July. While Vietnam’s Prime Minister Pham Minh Chinh attended last year’s BRICS summit as an observer, Hanoi has not yet agreed to become a formal partner in the group, which includes Brazil, Russia, India, China, and South Africa. Cuong did not comment on Vietnam’s stance regarding BRICS.
Lula also stated that during Brazil’s Mercosur presidency in the second half of the year, he will push for “a balanced agreement with Vietnam,” signaling potential trade negotiations between Vietnam and the South American trade bloc.
Finally, he proposed expanding technical cooperation between the two nations on coffee production. As the world’s two largest coffee producers, Brazil and Vietnam face increasing challenges from climate change, making collaboration in this sector critical.
Related Topics:
