In today’s issue: Brazilian big agro cheering against U.S.-China trade deal. Supreme Court to decide on future of Operation Car Wash. Lingering questions on Marielle Franco assassination.
Brazilian big agro cheering against U.S.-China trade deal
Negotiations to settle the U.S.-China trade war are intensifying, with both sides holding frequent talks to clear the final hurdles. This could spell bad news for Brazillian agricultural producers, who fear that a truce will come with China opening up its market to American agribusiness—which could then ‘steal’ a BRL 30bn market share now occupied by soybean, meat, sugar, and ethanol producers.
It doesn’t help the fact that the Jair Bolsonaro administration has been hostile to Beijing in the past. The last such instance was a leaked lecture given by Foreign Minister Ernesto Araújo to students of Brazil’s school of diplomats, saying the country “won’t sell its soul to secure iron ore and soybean exports.” Mr. Araújo also said that, “coincidentally or not, the period over which China has been Brazil’s top trade partner has also been a period of recession.”