Canada is focusing on strengthening trade ties with Brazil through the Mercosur-Canada Free Trade Agreement, which remains under negotiation. The ambassador to Germany, Evelyne Coulombe, highlighted the challenges posed by U.S. tariffs and expressed optimism for expanded collaboration, particularly in energy and agrotechnology sectors. The growing trade between Brazil and Canada reflects potential opportunities for economic growth.
Canada is eager to strengthen trade agreements with Brazil, particularly within the context of the Mercosur-Canada Free Trade Agreement. Evelyne Coulombe, Canada’s ambassador to Germany, expressed optimism regarding the deepening of trade relations, citing the recent agreements with Chile and Ecuador as progress. She stated, “I think it would be great if we could finalize the free trade agreement between Canada and Mercosur.”
The Mercosur-Canada partnership, initiated in March 2018, has seen numerous negotiation rounds but remains unfinished. “This is a significant opportunity. Every crisis or challenge brings new possibilities,” Ms. Coulombe noted, alluding to the current trade tensions with the United States.
Recently, U.S. President Donald Trump’s decision to impose tariffs on imports from Canada was a significant shock, triggering retaliatory measures from Canada on $107 billion worth of U.S. goods. Ms. Coulombe commented, “We have been neighbors and allies for many years under a free trade agreement, so it was surprising to be targeted with tariffs.”
She highlighted that the present circumstances could facilitate the establishment of business ties with Brazil and potentially the broader Latin American market. “The timing is excellent. We need to diversify our markets,” she emphasized.
In 2024, Brazilian exports to Canada increased by 9.44%, totaling $6.31 billion, while Canadian imports declined due to exchange rate fluctuations. Ms. Coulombe noted that enhancing trade relations could be especially advantageous for the oil, gas, and renewable energy sectors, suggesting collaboration in technology-sharing initiatives.
Canada’s focus also includes the sugarcane and agrotechnology sectors, as evidenced by the recent establishment of a Brazil-Canada Chamber of Commerce office in Ribeirão Preto, São Paulo. This initiative aims at exploring new business opportunities between the nations.
In summary, Canada is actively pursuing the enhancement of trade relations with Brazil amid pressures from U.S. trade policy. The ongoing negotiations concerning the Mercosur-Canada Free Trade Agreement highlight the potential for expanded collaboration, particularly in sectors such as oil, gas, renewable energy, and agrotechnology. The current market dynamics present an opportunity for diversification and exploration of new commercial avenues between these countries.
Original Source: valorinternational.globo.com
