US Secretary of State, Mike Pompeo has warned that as the United States and Brazil reinforce their business partnership, they need to reduce their dependence on imports from China for their own security.
At a virtual summit on increased U.S.-Brazil cooperation aimed at post-pandemic recovery, Pompeo stressed on the importance of expanding bilateral economic ties, given what he called “enormous risk” emanating from China’s significant participation in their economies.
“To the extent we can find ways that we can increase the trade between our two countries, we can … decrease each of our two nations’ dependence for critical items” coming from China.
“Each of our two peoples will be more secure, and each of our two nations will be far more prosperous, whether that’s two or five or 10 years from now.”
The Trump administration is working to boost ties with Brazil and gain some advantage in what it refers to as a new “Great Power” competition amid the growing influence of China in several countries.
Brazilian President, Jair Bolsonaro is however reportedly hamstrung as China is Brazil’s largest trade partner, buying much of its soy and iron ore.
The spokesman for the Chinese foreign ministry, Zhao Lijian, when asked about Pompeo’s comments at a news conference in Beijing said some U.S. politicians are trying to “sow discord.”
He added that cooperation between China and Brazil is durable and has broad support in both countries.
President Bolsonaro has yet to decide whether to ban Brazilian telecom companies from buying 5G equipment from China’s Huawei Technologies Co Ltd [HWT.UL] as the U.S government has sought. Swedish regulators are the latest to have banned the use of telecommunications equipment from China’s Huawei and ZTE in its 5G network following pressure from the United States on European governments.
At the summit organized by the U.S. Chamber of Commerce, Bolsonaro announced three agreements with the United States to ensure good business practices and stop corruption. He said the package will slash red tape and increase trade and investment.
“In the last year and a half, together with President Trump, we have elevated Brazil-U.S. relations to its best moment ever, and opened a new chapter in the relationship between the two largest economies and democracies in the hemisphere,” he said.
Two top lawmakers from the Democratic Party have slammed the Trump administration for increasing trade cooperation with President Bolsonaro’s government despite its “abysmal record” on human rights, the environment and corruption.
“Giving President Bolsonaro ammunition to claim that the United States endorses his behaviour sullies our nation’s reputation as a country that demands our trade partners respect human rights and the rule of law,” said U.S. House Ways and Means Committee Chairman, Richard Neal.
Representative Earl Blumenauer, who heads the committee’s trade panel, said the protocol was the latest mini trade deal signed by the Trump administration without congressional buy-in.
Pompeo said Brazil was getting closer to joining the Organization for Economic Co-operation and Development (OECD) grouping of rich nations with the support of the United States.
