Rio de Janeiro, Brazil, 20 June – Trade between Brazil and China is this year expected to grow by between 30 and 40 percent, and may even reach 50 percent growth, said the chairman of the Brazil-China Chamber of Economic Development, Tang Wei, who took part Friday in a meeting with Brazilian businesspeople in Rio de Janeiro.
“From 1990 to 2000, average two-way trade totalled US$1.5 billion, but in 2009 it was US$40 billion and last year the total was US$62 billion, and thus this year the minimum growth is expected to be between 30 and 40 percent, although it will be no surprise if it reaches 50%, as it did last year,” said Wei, citing figures from the Chinese government.
According to official figures from the Brazilian Ministry for Development, Industry and Foreign Trade, Brazil-China trade ended 2010 at US$56.3 billion, representing real growth of US$20 billion against 2009.
Last year, Brazil’s balance of trade with China posted an overall surplus of US$5.1 billion, although around 68 percent of Brazilian exports are focused on iron ore and soy. China mainly exports products with more added-value to Brazil, and 30 percent of the total are electrical and electronic products, particularly IT and telecommunications components.
As well as the Brazilian sectors that are usually the focus of China’s attention, such as iron ore and agricultural products, Wei said that there was a string trend for expansion of investment in energy and machinery and equipment for industry.
The chairman of the chamber of commerce said that the relationship between the two countries was entering a new phase, with large Chinese companies setting themselves up in Brazil, including hi-tech and automotive companies. (macauhub)