China-Brazil economic cooperation hailed

Amid the headwinds in the global market complicated by ongoing geopolitical tensions and conflicts, Brazil and China have tightened their business ties, a trend that could be carried forward to facilitate green transition and technological advancement, said officials and industry experts.

They made the comments during a Brazil-China economic conference held in Shanghai on Wednesday.

Brazilian Ambassador to China Marcos Galvao compared the current global landscape to a "rough sea" when fishermen should remain on the beach, as the traditional Brazilian saying goes. But he stressed that people should not stay put amid rising tides and wait for the storm to die down.

Instead, people should "set sail", bringing the current situation back on track with international law and diplomacy. Efforts should be made to seize and strengthen new development drivers, he said.

Brazil embraces investment from China, not only in the consumer sector but also in capital and services. Chinese investment in the manufacturing sector is especially important, as it not only facilitates technological advancement and industrial upgrading in Brazil but can also radiate to the rest of the South American countries via Brazil's network, he said.

The cooperation between China and Brazil has reached a new level, deepening in the areas of energy transition, logistics, infrastructure, healthcare, technology, food security, green economy and finance, according to Marcos Caramuru, a member of the International Advisory Board at the Brazilian Center for International Relations.

Chinese companies' investment in Brazil has transitioned from the traditional energy industry such as oil, to emerging industries like new energy vehicles, photovoltaics, artificial intelligence, smart farms, and ultrahigh-voltage power transmission, but it should be noted that healthcare is one of the industries in Brazil that is most open to foreign investment, said Shen Xin, vice-president of the Chinese People's Association for Friendship with Foreign Countries.

Deeper cooperation can be nurtured among medical institutions, medical devices and biotech companies between China and Brazil, Shen added.

Brazil's former environment minister Izabella Teixeira said that China and Brazil can deepen cooperation in climate and natural resources.

In the first place, they can leverage scientific knowledge as a political tool to advance climate solutions. Innovation is another major topic where China can bring strong experience in systemic approaches and environmental governance.

Given that both countries are mega-biodiverse nations, they should treat natural resources as strategic assets, engage the private sector, and explore the role of biomass in linking energy and food security, she said.

Fang Li, country director of the World Resources Institute China, discovered during her recent visit to Mexico that the Global South has expressed huge interest in cocreating investment and trade rules.

The energy crisis in the world has boosted the demand for green energy and the substitution of oil with alternatives for producing chemical products. China and Brazil can deepen their collaboration in these two areas, as Brazil generates over 80 percent of its power from water and boasts rich ecological resources, she said.

Hangzhou Hexing Electrical now accounts for over 60 percent of the electricity meter supply in Brazil. According to Shelley Wang, head of the company's Brazilian business, the demand for distributed photovoltaics, grid digitalization, smart metering, and manufacturing has become increasingly high in Brazil, as it advances its energy transition. But this goal cannot be achieved simply via technological advancement, but also through reconstruction of industrial chains and cooperation.

According to Ding Songbing, general manager of the strategy and research department of Shanghai International Port (Group) Co, the company can bring more know-how on the renovation and automation of existing ports in Brazil, as a large part of the trade between the two countries is conducted by sea.