South Korean President Lee Jae Myung and Brazilian President Luiz Inacio Lula da Silva agreed to enhance their strategic partnership and resume free trade deal negotiations between South Korea and the Mercosur trade bloc. The leaders also committed to cooperation on critical minerals and expressed concern over maritime security.
The agreement signals a deepening of economic and strategic ties between South Korea and Brazil, potentially leading to increased trade and investment. It also highlights a shared interest in critical minerals and maritime security, reflecting broader geopolitical and economic shifts.
South Korean President Lee Jae Myung and Brazilian President Luiz Inacio Lula da Silva have agreed to enhance their countries' strategic partnership and work towards resuming free trade agreement negotiations between South Korea and the Mercosur trade bloc. The leaders met in Brasilia, their second summit this year, and adopted a joint statement emphasizing cooperation on critical minerals and addressing global challenges.
The agreement to resume talks for a South Korea-Mercosur trade pact, which began in 2018 but stalled in late 2021, includes the formation of a joint working group. The goal is to declare the resumption of negotiations at the Mercosur summit in December. Brazil is a key member of Mercosur, which also includes Argentina, Paraguay, Uruguay, and Bolivia.
Beyond trade, the leaders highlighted the importance of cooperation in critical and strategic minerals, including rare earths, and discussed technology transfer. They also expressed "grave concern" over the situation in the Strait of Hormuz, its impact on maritime transport and global energy security, and the disproportionate effects on developing countries.
Furthermore, Lee and Lula reaffirmed their commitment to peace and denuclearization on the Korean Peninsula, with Brazil supporting South Korea's efforts to resume inter-Korean dialogue. The two nations also agreed to expand cooperation across the critical minerals supply chain, leveraging Brazil's resources and South Korea's industrial capabilities.
During Lee's visit, seven memorandums of understanding were signed, covering areas such as aerospace, supply chains, and cultural sectors. The aerospace MOU aims to streamline regulations for South Korean firms using Brazilian launch facilities and foster cooperation in space exploration. Lula also invited Lee to attend the joint launch of a space launch vehicle at Brazil's Alcantara Space Center in September.
Executives from major South Korean companies operating in Brazil, including POSCO, Korean Air, Samsung Electronics, and Amorepacific, attended a reception following the summit, where Lee pledged proactive support for their market expansion and business opportunities.