The United States and Brazil have taken a step forward in their economic partnership by signing a free trade agreement. The agreement was signed in March 2020, during Brazilian President Jair Bolsonaro’s visit to the United States. The deal is expected to have a positive impact on both countries` economies and could lead to increased cooperation in various sectors.
One of the main benefits of the agreement is that it will help to reduce trade barriers between the two countries. This will allow businesses in both countries to access new markets and increase their exports. It’s estimated that the agreement will increase bilateral trade by up to $20 billion annually.
The agreement is also expected to provide significant benefits to both countries’ agricultural sectors. The United States is the world`s largest producer of soybeans, while Brazil is the second largest. This agreement will allow Brazilian farmers to export their products to the United States without facing tariffs, which could lead to significant gains for the Brazilian economy.
In addition to agriculture, the agreement is also expected to benefit other sectors, such as energy, technology, and manufacturing. The United States is a leading producer of oil and gas, while Brazil is a major exporter of renewable energy. The agreement is expected to encourage cooperation between the two countries in these sectors, leading to increased investment and job creation.
The agreement is also expected to have a positive impact on the environment. Both countries have committed to reducing their greenhouse gas emissions, and the agreement is expected to encourage greater cooperation in the development of renewable energy sources and clean technologies.
Overall, the United States and Brazil free trade agreement is a significant milestone in the economic partnership between the two countries. It is expected to provide significant benefits to both countries’ economies and could lead to increased cooperation in various sectors. As the two countries continue to work together, the potential for future growth and development is significant.