Lula's visit is expected to produce more than a dozen agreements and new investment announcements, ranging from grains to railroads, officials from the South American commodities giant said.
Brazilian President Luiz Inácio Lula da Silva is traveling to Beijing this week to meet with his counterpart Xi Jinping, seeking to strengthen relations between the two nations and take advantage of U.S. President Donald Trump's unpredictable trade policies to boost exports of grain, metals, and meat to China.
Lula's visit is expected to produce more than a dozen agreements and new investment announcements, ranging from grains to railroads, officials from the South American commodities giant said.
Brasilia hopes to be able to supply some of the goods the United States currently sends to China, which have become more expensive following Beijing's tariffs in response to the heavy tariffs imposed by Trump.
"It opens up an opportunity, as U.S. exports are currently unviable due to the 145% tariffs," Luis Rua, who oversees foreign trade for Brazil's Agriculture Ministry, told Reuters .
He said Brazil intended to export more sorghum, pork, and chicken to China, taking advantage of its market share. The United States, he added, sends about 45% of the sorghum imported by China, about 30% of its chicken, and 16% of its pork.
The four-day visit will be Lula's third face-to-face meeting with Xi since the Brazilian president took office in 2023. Other leaders, including Chilean President Gabriel Boric and Colombian President Gustavo Petro, have also visited Beijing for meetings between Chinese officials and the Community of Latin American and Caribbean States (CELAC).
The Lula-Xi summit follows the intensification of diplomatic relations between the two nations during a meeting held last November in Brazil, where the leaders signed more than 40 agreements in various sectors, including infrastructure, energy, and agribusiness.
Brazilian Transport Minister Renan Filho said in an interview with Reuters that Chinese investors were interested in several rail projects in Brazil, including those aimed at connecting agricultural and mining regions with ports such as Barcarena, Açu, and the recently opened Chinese-operated port in Chancay, Peru.
"We will sign all projects that offer road and rail synergy with the potential to increase exports to China, especially agricultural, but also other areas, such as mining," he stated.
Although the minister admitted that the plans had been presented to Chinese investors several times over the years, he believes the relationship between the two countries is now mature enough for the projects to move forward.
This is partly due, he added, to the two countries reaching a firmer understanding last year on the nature of their relationship, after years of Chinese diplomats unsuccessfully trying to convince Brazil to join the Belt and Road Initiative, China's global infrastructure program.
Last November, both countries agreed to find "synergies" between Chinese plans and Brazilian development programs.
The visit to Beijing this week aims to add solid projects and investments to these "synergies," a Brazilian diplomat told Reuters , requesting anonymity to discuss the negotiations openly.
China is Brazil's largest export market and has been one of the largest foreign investors in Latin America, although it has shown more caution in recent years. According to a survey by the Brazil-China Business Council, Chinese investment in Brazil will reach US$1.73 billion in 2023, a 33% increase compared to the previous year, but still the second lowest since 2007.
Tulio Cariello, the council's research director, said transportation, and railroads in particular, have enormous potential to attract Chinese investment, although such projects have been hampered by bureaucratic and budgetary obstacles in the past.
"I see a lot of Chinese interest," he said, adding that the two countries are now better prepared to overcome obstacles. "There is now much more comprehensive knowledge about Brazil in China than before."
