Brazil, India Are Teaming Up To Rival West’s Economic Grip; Lula Calls It ‘Alliance That Will Change Everything’ | World News

Brazil: Brazilian President Luiz Inacio Lula da Silva is trying to establish a “strategic alliance” with India to strengthen political, economic and technological ties between the two countries. The announcement came in a video message broadcast on X on Saturday, following Brazilian Vice President Geraldo Alckmin’s recent visit to New Delhi.

Lula described Alckmin’s visit as a very important step in preparation for his official visit to India early next year. He highlighted India’s extraordinary market potential and the prospects of a multi-dimensional partnership. Participation could include politics, space, entrepreneurship and economics, he said.

He expressed confidence in the warm relations between the two countries, adding that both Brazilians and Indians hold each other in high regard. “Therefore, we will form a strategic alliance with India and develop the economies of both Brazil and India,” he said.

The President emphasized that Alckmin’s visit is focused on strengthening business relations and expanding the footprint of Brazilian companies in India.

Citing concrete developments such as the opening of Brazilian aerospace company Embraer in India, the introduction of electronic visa to facilitate business travel and the establishment of new partnerships, he praised the vice president for returning with only good news.

Alckmin also emphasized that India and Brazil are complementary markets, not competitors. Answering questions about the potential of both countries as alternatives in the face of high US tariffs, he said: “We will not compete on products, we will have economic complementarity.”

He highlighted the growth potential on both sides, stating that India’s economy is expanding at around seven percent while Brazil is experiencing a record 16 percent agricultural harvest this year. “There are many possibilities for complementarity: in technology, industry, mining and agriculture,” he added.

Lula’s announcement comes against a backdrop of rising U.S. trade barriers. In August, US President Donald Trump imposed tariffs of up to 50 percent on various Brazilian goods, while India faced similar US tariffs of up to 50 percent on most exports. Despite these challenges, economic interaction between India and Brazil continues to increase.

During Prime Minister Narendra Modi’s visit to Brazil in July, both leaders aimed to increase bilateral trade to 20 billion dollars in five years. According to the Ministry of Commerce and Industry, goods trade between the two countries reached US$ 12.19 billion in fiscal year 2024-25, making Brazil India’s largest trading partner in Latin America and the Caribbean.

The strategic alliance Lula envisions promises a transformative partnership that brings together the world’s two largest democracies, ready to strengthen trade, investment and technological cooperation in a continent-spanning and rapidly changing global economy.