Lula to Japanese business leaders: Brazil is safe harbor

Political stability, tax reform, commitment to democracy, economic growth and the consolidation of social achievements. At the closing of the Brazil-Japan Forum in Tokyo on Wednesday, March 26, President Luiz Inácio Lula da Silva outlined a series of recent accomplishments that make the country a favorable destination for investment and mutual growth. These characteristics have already materialized, for instance, in the announcement of the sale of 15 aircraft from Brazilian Aeronautics Company S.A. (Empresa Brasileira de Aeronáutica S.A. /EMBRAER) to Japan and a series of trade agreements.

Brazil is a safe harbor. We are consolidating with Japan a new strategy of relationship. We want to sell and we want to buy, but above all, we want to share alliances between Japanese and Brazilian companies so that we can grow together"

Luiz Inácio Lula da Silva, President of the Republic of Brazil

"We will sign ten cooperation agreements in various areas, in addition to nearly 80 instruments among companies, banks, universities, and other institutions," said Lula. "We approved a historic tax reform that will simplify processes, reduce costs, and offer predictability and efficiency to businesses. We are correcting injustices in the Income Tax to benefit millions of Brazilians, increasing household consumption, and making the economy's wheel turn," added the president, who also mentioned credit policies, income distribution, and combating climate change as differentiating factors for the current Brazilian moment. The speech was accompanied by the Japan's Prime Minister, Shigeru Ishiba.

» Full text of President Lula's speech.

"Brazil is a safe harbor. We are consolidating a new strategy of relationship with Japan. We want to sell and we want to buy, but, above all, we want to share alliances between Japanese and Brazilian companies so that we can grow together. Our bilateral trade has decreased in recent years. It dropped from USD 17 billion in 2011 to USD 11 billion in 2024. It must improve." The Brazilian leader also mentioned the energy transition as another strategic area for advancements in bilateral relations.

"Brazil will increase the ethanol percentage in gasoline from 27% to 30%, and in diesel, we will reach 20% by 2030. It is positive that with the Strategic Energy Plan, Japan will increase the bioethanol percentage to up to 10% by 2030 and up to 20% starting in 2040," Lula mentioned. "Decarbonization is not a choice, it is a necessity and a great opportunity. The involvement of the private sector is crucial. Brazil will always be an ally in the reduction of the global dependence on fossil fuels," the president reflected.

He emphasized Brazil's efforts to eliminate deforestation in the Amazon by 2030 and the opportunities for partnership around COP30, which will be held in Belém, in the Brazilian state of Pará. “In November, Brazil will host COP30 in the heart of the Amazon, and I hope Prime Minister Ishiba will participate so that he can experience the Amazon, a place everyone talks about but few people truly know.” invited Lula.

PILLARS – In the geopolitical field, Lula emphasized that the world must defend three fundamental pillars for global stability: democracy, free trade, and multilateralism. "It is crucial that historical partners come together to face the uncertainties and instabilities of the global economy. First, we must fight hard for democracy. Democracy is at risk on the planet with the election of far-right denialists who do not even recognize vaccines, climate instability, or political parties. The denial of politics will bring no benefit to humanity," stressed the Brazilian president. "The second thing we need to defend is free trade. We cannot go back to defending protectionism. We want free trade so that our countries can establish themselves in the movement of democracy, economic growth, and wealth distribution," emphasized Lula. Finally, he defended multilateralism. "The relationship among countries, political relations, university ties, and the exchange of scientific and technological experiences is very important. We no longer want walls. We no longer want to be prisoners of ignorance. We want to be free and beholden only to freedom.

REPRESENTATION – Eager to reverse the decline in the trade balance with Japan observed in recent years, Brazil is represented in the Asian country by a large delegation of business leaders from various sectors of the Brazilian industry. On the sidelines of the Forum, the President met with a large number of Brazilian business representatives, also counting with the presence of the President of the Congress and the Senate, Davi Alcolumbre; the President of the Chamber of Deputies, Hugo Motta; the Minister of Foreign Affairs, Mauro Vieira; the Brazilian Ambassador to Japan, Octávio Henrique Dias Garcia Côrtes; the President of the Bank of Brazil (Banco do Brasil), Tarciana Medeiros; the President of Apex Brazil, Jorge Viana; and the Executive Secretary of the Ministry of Development, Industry, Trade, and Services, Márcio Elias Rosa.

UNIONS - Earlier, Lula attended a meeting with Brazilian and Japanese union representatives. On the occasion, he highlighted measures taken by the current administration in the field of work, such as the measure that ensures equal pay for men and women performing the same jobs, and the resumption of the minimum wage valuation policy, with increases above inflation.  He praised the significant number of Brazilians entering the formal job market and the historic drop in unemployment during his administration. On the Brazilian side, representatives from the Unified Workers' Central (Central Única dos Trabalhadores /CUT), Union Force (Força Sindical), the Metalworkers Union of ABC (Sindicato dos Metalúrgicos do ABC), and the Metalworkers Union of Sorocaba and Region (Sindicato dos Metalúrgicos de Sorocaba e Região) participated. On the Japanese side, the president and several representatives of the Japanese Trade Union Confederation (Rengo) were present.