Lula condemns arms race and advocates fair partnership with Europeans in speech in Brussels

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The arms race further complicates the confrontation of climate change, said the president, who advocated government purchases and Brazil's industrial policy

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247 - On Monday morning, the President of the Republic, Luiz Inácio Lula da Silva, delivered a speech during the opening session of the European Union-Latin America business forum held in Brussels, Belgium. Lula expressed his satisfaction in participating in the meeting alongside European leaders and highlighted the importance of relations between businesses, universities, and civil society to drive joint development. The speech emphasized global challenges such as the Covid-19 pandemic, climate change, the democratic crisis, and war, underscoring the need for leaders, entrepreneurs, and workers to come together to rebuild a prosperous path and resume production, investments, and jobs.Lula highlighted the strategic role of Latin American and Caribbean countries for Europe and the world, emphasizing investment opportunities and consumption expansion in the region. He mentioned the strengthening of trade relations between Brazil and the European Union, which has become the country's second-largest trading partner, with a trade flow projected to exceed 100 billion dollars in the current year. The President also expressed the desire to conclude a balanced agreement between Mercosur and the European Union, opening new horizons for both parties and enabling adaptation to present and future challenges.Government purchases - In the speech, Lula emphasized the importance of government purchases as a vital instrument for infrastructure investments and sustaining industrial policies. He mentioned that countries such as the United States and the European Union already adopt industrial policies based on public procurement and domestic content. Lula stressed the potential of the Brazilian domestic market, with a population of 203 million people, and emphasized the need to increase investments in durable goods, inputs, and associated services. He announced the launch of a new Investment Plan in the coming days, aiming to overcome existing bottlenecks, generate quality jobs, combat poverty, and increase the income of Brazilian families. The plan will encompass the modernization of logistical infrastructure with investments in highways, railways, waterways, ports, and airports.The President also addressed the issue of the Brazilian energy matrix, highlighting that Brazil has one of the cleanest in the world, with the majority of electricity coming from renewable sources. He mentioned the commitment to further improve these numbers, prioritizing solar, wind, biomass, ethanol, biodiesel, and the potential for green hydrogen production. Lula emphasized opportunities in areas such as urban mobility, sanitation, disaster prevention, and housing finance, stimulating the transportation and construction supply chains.Quality education - The speech also addressed the importance of quality education to drive growth based on technology and innovation, prioritizing the knowledge economy. Lula emphasized the need for partnerships between the government and entrepreneurs in areas such as concessions, Public-Private Partnerships, and direct contracting. He stressed that the new Brazil in reconstruction seeks to reconcile its commitments with macroeconomic fundamentals, such as inflation control and fiscal balance, to ensure stability, economic expansion, and social progress. The President highlighted the ongoing tax reform to simplify tax collection and make the economy more efficient, as well as Brazil's robust financial system, which will enable sustainable credit expansion in the coming years.Lula also emphasized the importance of regional integration, mentioning the proposal to update the project portfolio of the South American Council for Infrastructure and Planning, with a focus on physical and digital integration, especially in border regions. He highlighted the example of the bioceanic corridor, linking Brazil's Midwest to ports in northern Chile, reducing export costs and generating employment and income for the region. Lula mentioned the upcoming meeting of Amazonian country presidents, to be hosted by Brazil, aiming to coordinate common initiatives for the protection and sustainable development of the Amazon, in partnership with seven other South American countries.Environment - In the speech, the President reinforced Brazil's commitment to preserve and sustainably explore its unique natural heritage, such as forests, biodiversity, and freshwater. He highlighted the reduction of deforestation in previous governments and committed to eliminating deforestation in the Amazon by 2030, mentioning a 34% reduction in deforestation in the first semester compared to the previous year.Lula concluded the speech by emphasizing that Brazil is back on the international stage to contribute to addressing global challenges such as the climate change crisis and increasing inequalities. He reinforced the importance of a promising agenda of peace, cooperation, trade expansion, job creation, and sustainable growth for Europe, Latin America, and the Caribbean regions. The President stressed that better income distribution, with resources at the base of society, expands consumption and generates opportunities in services, industry, and agriculture, both in each country individually and on a global scale.