Lula meets with Spanish president and King Felipe VI.
Spain is the second largest foreign investor in Brazil, with US$63 billion, second only to the United States.
Brazil Agency – President Luiz Inácio Lula da Silva meets this Wednesday (26) with the President of the Government of Spain, Pedro Sánchez, and with King Felipe VI. A signing ceremony is also planned. Spain is the last country on Lula's visit to Europe, which began in Portugal.
Sealing the Mercosur-European Union trade agreement and expanding bilateral trade are among the topics of the trip. Spain and Brazil will assume leadership of the blocs to which they belong, the European Union and Mercosur respectively, for the next six months, starting in July.
Em speech to Spanish investors On Tuesday (25), in Madrid, Lula said he expects the trade agreement to be formalized by the member countries of the blocs still in 2023. “Brazil and its Mercosur partners are engaged in dialogue to conclude negotiations with the European Union and we hope to have good news this year. It is a very important agreement for everyone and we want it to be balanced and to contribute to the reindustrialization of Brazil,” he said.
Approved in 2019 after 20 years of negotiations, the Mercosur-EU agreement needs to be ratified by the parliaments of all countries in both blocs to come into effect. This process involves 31 nations.
The president invited Spanish business leaders to invest in the Brazilian market, in the renewable energy sector, such as green hydrogen, wind farms, biomass and solar energy.
Business relationships
Spain is the second largest foreign investor in Brazil, with US$63 billion, second only to the United States. More than a thousand Spanish companies are present in the Brazilian market, especially in the financial and communications sectors. Among these companies are Telefónica and Banco Santander.
In 2022, Brazilian exports to the Spanish market doubled, reaching 9 billion euros, driven by crude oil, soybeans, and corn. Imports from Spain grew by 38% in the same year, led by petroleum derivatives, auto parts, and fertilizers.
Lula's meeting with Pedro Sánchez will take place at the Moncloa Palace, the seat of the local government. The president will have lunch with King Felipe VI at the Royal Palace. Afterwards, Lula and his entourage will return to Brazil.