Lula highlights Brazil's economic strength and leadership in the energy transition
In Jakarta, the president advocates balanced partnerships, added value to critical minerals, and cooperation with Indonesia on bioenergy
247 - Less than a month before COP30, which will be held in Belém (PA), President Luiz Inácio Lula da Silva highlighted Brazil's strategic role in the green economy during the Brazil-Indonesia Business Forum in Jakarta. The event brought together more than 100 authorities and businesspeople from both countries and marked a new chapter in bilateral relations.
According to information published by the official website of the Planalto Palace, Lula emphasized that Brazil has ideal conditions to lead the global energy transition, with political, economic and social stability, as well as vast mineral reserves and natural resources. "This is what Brazil is keen to offer to each and every investor," the president stated.
Brazil wants a balanced partnership with Indonesia.
During his speech, Lula emphasized that Brazil seeks more than just trade relations with Indonesia. "Brazil doesn't just want to sell to Indonesia. We are betting on a balanced and mutually beneficial partnership," he declared. The president stressed that both countries, as major producers of bioenergy, can "together create a global market for biofuels."
He also reinforced the importance of decarbonizing maritime transport, advocating for the use of ethanol as an immediate alternative. "The International Maritime Organization cannot indefinitely postpone the decision to decarbonize the sector. Ethanol biofuel is a viable and immediately available alternative," Lula pointed out.
Critical minerals and national sovereignty
Lula also highlighted Brazil's potential in the mineral sector. The country has only 30% of its mineral wealth mapped, but already holds 10% of the world's reserves of critical minerals, fundamental for the energy transition. According to the president, the government is creating the National Council for Critical Minerals, linked to the Presidency of the Republic, to guarantee sovereignty over these resources.
“We do not intend to replicate the condition of being mere exporters of commodities. We want to add value to our territory, with environmental responsibility and respect for local communities,” he stated.
Tropical Forest Fund and COP30
The president also previewed details about the Tropical Forests Forever Fund, which will be launched during COP30. The goal is to finance projects that reconcile sustainable development and environmental preservation. "We will show that it is possible to promote development, address climate change, and protect tropical forests and their biodiversity," said Lula, highlighting Indonesia's support for the fund.
Brazil has already invested one billion dollars in the initiative. "If it works, no one will be asking for money anymore, as if begging for alms, to keep the forest standing and prevent the planet from warming by more than one and a half degrees," he added.
Trade expansion and regional agreements
The president emphasized that Brazil will continue to diversify its trade relations while maintaining a universalist diplomacy. "We want to continue expanding our relations with the world, without distinction or automatic alignment," he stated.
Lula also mentioned the work of the Brazilian government, within the framework of Mercosur, to advance negotiations for a preferential trade agreement with Indonesia. "During our current presidency, until the end of the year, we will advance the discussions for a preferential trade agreement between Mercosur and Indonesia," he said.
Business leaders and authorities reinforce their confidence in Brazil.
The president of the Indonesian Chamber of Commerce and Industry, Anindya Bakrie, highlighted the combined potential of the two economies. "We are two countries with a population of almost half a billion people. We combine economies of almost 4 trillion dollars," he stated.
The president of the Brazilian Trade and Investment Promotion Agency (ApexBrasil), Jorge Viana, highlighted the strength of the Brazilian business environment. "There is a very favorable environment for businesses to multiply exponentially. This environment of predictability is rare in today's world," he stated.
Expanding bilateral relationship
Lula's visit to Indonesia was the first by a Brazilian head of state since 2008, when the Brazil-Indonesia Strategic Partnership was established. The relationship has been strengthening in recent years, with agreements in areas such as bioenergy, food security, and sustainable trade.
In 2024, trade between the two countries reached US$6,3 billion, with a surplus of US$2,6 billion for Brazil. The main exported products were soybean meal and sugar, both accounting for 37% of the trade balance.
Asian agenda and cooperation with ASEAN.
After his engagements in Jakarta, Lula will travel to Malaysia, where he will participate in the 47th Summit of the Association of Southeast Asian Nations (ASEAN) in Kuala Lumpur. Relations with the bloc are a priority in Brazilian foreign policy: in 2024, trade between Brazil and ASEAN countries reached US$37 billion, twelve times more than in 2002.
