Reporter’s Notebook: Lula Steers Brazil Closer to China

Brazilian President Luiz Inácio Lula da Silva concluded a significant state visit to China in May 2024, emphasizing the value of multilateralism in global trade and criticizing the trend of unilateralism, especially by nations like the United States. Lula stated, “Trying to establish unilateralism now, trying to dismantle the cohesion that multilateralism enabled in trade matters is, at the very least, a mistake.” Both China and Brazil, he argued, share interests in defending multilateralism against the backdrop of shifting global power dynamics and rising protectionism [para. 1].

At a press conference held on May 14 in China, Lula lamented the waning discourse around globalization, comparing the present climate unfavorably with that of previous decades. He criticized the unilateral imposition of tariffs by the U.S., observing that global partners should not be obliged to acquiesce to such measures. Lula’s sixth trip to China—and his second since returning to the presidency in 2023—took place amid heightened U.S.-China tensions and concerns that a possible new Trump administration might accelerate global economic fragmentation [para. 2][para. 3].

Throughout his visit, Lula actively participated in diplomatic engagements, including addressing the Brazil-China Business Seminar and opening the fourth ministerial China-CELAC Forum. He also met President Xi Jinping for the third time since his recent term began [para. 4]. Reports from these events noted Lula’s enduring charisma and energetic public speaking, despite his age. His direct style and passionate delivery resonated with listeners, reflecting his exceptional political magnetism [para. 5][para. 6].

Major topics discussed included trade relations, tariff policies, and the ongoing Russia-Ukraine conflict. Lula reassured business leaders that the economic alliance between Brazil and China was only set to strengthen, describing it as “a win-win game.” He indicated that Brazil would resist unfavorable U.S. trade policies with strong negotiations, alluding to past experiences under the Trump administration when the U.S. imposed tariffs on Brazilian exports [para. 7][para. 8][para. 9]. Marcos Caramuru de Paiva, former Brazilian ambassador to China, pointed out that the U.S. has consistently enjoyed a trade surplus with Brazil—a figure projected at $253 million in 2024, with bilateral trade surpassing $80 billion [para. 10][para. 12].

Lula dismissed concerns about potential U.S. reprisals over Brazil’s deepening ties to China. He asserted that both countries, Brazil and the U.S., have the right to make decisions best suited to their interest, recalling the longstanding relationship that spans over two centuries [para. 11]. On international conflict, specifically Ukraine, Lula reiterated Brazil’s commitment to peace and negotiations, referencing joint statements with China calling for dialogue and acknowledging both Russia and Ukraine’s responses to recent peace initiatives. He stressed that Brazil’s refusal to outright condemn Russia stems from a desire to facilitate peace talks [para. 13].

Brazilian officials expressed optimism that U.S.-China trade tensions could benefit Brazil, particularly in agriculture. History supports this: in 2018, Brazil replaced the U.S. as China’s main agricultural supplier during trade disputes [para. 16]. Lula’s visit produced new agreements, such as granting China access to Brazilian corn ethanol byproducts—a sector formerly dominated by U.S. exports [para. 17]. Still, industry leaders and politicians cautioned that ongoing global instability brings planning challenges and potential domestic risks, such as inflation and over-exportation [para. 19][para. 20][para. 21].

Despite some lingering concerns over how U.S.-China agreements may impact Brazilian trade competitiveness, Lula maintained optimism. He expressed confidence in Brazilian products’ competitiveness and underscored his vision of mutual growth and prosperity for all nations involved [para. 24].