A strong U.S.-Brazil economic alliance is one of the most consequential geopolitical partnerships in Latin America. Opportunities for greater bilateral cooperation exist in trade, defense, energy, infrastructure development, agriculture, health, and innovation, to name a few, that would enhance competitiveness for both markets. In light of the constructive U.S.-Brazil relations, the Brazil-U.S. Business Council (BUSBC) calls on both governments to take concrete steps toward institutionalizing a strategic partnership:
- Initiate a scoping exercise and dialogue toward a comprehensive, rules-based trade agreement with significantly lower tariffs and a reduction of nontariff barriers. The Council presented the Impact of a U.S.-Brazil Trade Agreement on the U.S. Economy and the Joint Roadmap to a Trade Agreement to both governments and a proposed phased strategy for the dialogue.
- Start formal negotiations on a U.S.-Brazil bilateral tax treaty (BTT) that eliminates double taxation and offers mutual gains. Laying the groundwork, the Council put forth the Roadmap to a BTT that reflects the new U.S. tax legislation and outlines key provisions, country positions, and potential solutions.
- Establish a bilateral investment treaty (BIT) that promotes economic cooperation and stimulates the flow of capital. Toward this goal, the Council published a Brazil-U.S. Bilateral Investment map, jointly with Apex and AmCham Brazil, outlining the growth and benefits of two-way investments in the past decade. In all three cases cited above, the Council supports the creation of consultation mechanisms in both countries to ensure full and transparent private sector participation in negotiation processes.
The Council continues to advocate for near-term attainable accomplishments
contributing to the deepening of the bilateral relations:
- Call for the bilateral dialogues to continue with robust, strategic agendas with input from the business
community, including the Strategic Partnership and Energy Forum; Health and Commercial dialogues,
as well as the Agreement on Trade and Economic Cooperation.
- Continue efforts for Brazil’s accession into the Organization for Economic Cooperation and Development (OECD). Work toward OECD standards on trade facilitation, tax simplification, sound regulatory practices, technical barriers to trade, anti-corruption, and IP rights.
- Facilitate the visa process including Brazil in a comprehensive U.S. Global Entry program. Implement mutual recognition agreements on authorized economic operator programs (customs).
- Accept testing results and certification procedures of ANATEL and FCC, for example, for telecommunications equipment.
- Eliminate U.S. tariffs and quotas on imported steel and aluminum.
Combining original research, policy analysis, and engagement with policymakers and corporate leaders, the Council examines and advocates policy issues and priorities in the following areas:More Testimonials