On a trip to South America, the German chancellor talks about strengthening the bilateral relationship; meets with Lula on the 2nd (30.jan)
the german chancellor Olaf Scholz said on Saturday (January 28, 2023) that it wanted to speed up the conclusion of a free trade agreement between HUH (European Union) and the Mercosur. In speaks to journalists during his visit to Argentina, he said he saw “great potential” in deepening trade relations between the blocs.
“The possibilities that can come from the EU-Mercosur agreement are obviously particularly significant”, Scholz said. Argentine President Alberto Fernández was also present.
The chancellor makes a 3-day trip to South America. After visiting Argentina, the German went to Chile this Sunday (29.jan) and will arrive in Brazil on Monday (30.jan) to meet with the president Luiz Inacio Lula da Silva (PT). It’s your 1st time on the continent.
According to Planalto’s official agendaLula and Scholz have the following commitments on Monday:
- 3:30 pm – chancellor’s arrival ceremony;
- 3:45 pm – bilateral meeting with Olaf Scholz;
- 6 pm – meeting with business delegations from Brazil and Germany;
- 6:30 pm – speaks to journalists;
- 7:30 pm – dinner at the Itamaraty Palace.
With the exception of dinner, all appointments will be held at the Planalto Palace.
Scholz seems to be aligned with the ideas of the head of the Brazilian Executive. The PT said on Wednesday (25.jan) that the Mercosur-EU agreement is a priority for his government. According to him, relations with China will remain in second place.
“It is urgent and necessary for Mercosur to reach an agreement with the European Union. […] We are going to intensify discussions with the European Union and sign this agreement so that we can only discuss a possible agreement between China and Mercosur. And I think it’s possibledeclared Lula.
The idea of creating a bilateral agreement is old: it started more than 20 years ago. Only in June 2019 were negotiations to formalize the proposal concluded.
However, the hit didn’t come off the paper. One of the reasons for this was the bad relationship of the former president Jair Bolsonaro (PL) with European leaders. Lula promised in his election campaign that he will conclude the agreement.
Vice President and Minister of Industry and Development, Geraldo Alckmin (PSB), has already shown signs of bilateralism between Brazil and Europe. Him met on Monday (23.jan) with the executive vice-president of the European Commission, Frans Timmermans. The purpose of the meeting was to expand the “bilateral relations” with the economic bloc.
If concluded, the agreement will cover about 25% of the world economy. More than 90% of products on each side will no longer be burdened by import tariffs.
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