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Amid the growing presence of Chinese firms in Brazil, Brazilian businesses are expressing hope of being able to further expand into China’s market, while also calling for enhanced bilateral efforts to overcome challenges such as logistical bottlenecks. “China can and should be Brazil’s largest export market for every product category,” said Christian Gogola, director of Brazilian beverage company Legendaria. “But for now, more Chinese companies are entering Brazil than Brazilian firms doing business in China,” he noted, speaking to the Post at the China International Import Expo (CIIE) on Wednesday, the first day of the six-day annual trade show in Shanghai. Gogola added that “go to China” will be the natural strategy for many Brazilian businesses, citing “great bilateral ties” between the countries. Chinese companies have been expanding their footprint in Brazil, with a report by the Brazil-China Business Council in September showing that Chinese investment in Brazil more than doubled in 2024 from the previous year. According to the report, the surge would make Brazil the leading destination for Chinese capital among emerging economies, while worldwide, the South American country ranked third – behind only Britain and Hungary. Last month, Chinese carmaker BYD inaugurated what it called its largest electric vehicle plant outside Asia, with the new complex in Brazil representing an investment of 5.5 billion reais (US$1.02 billion). Speaking at the opening of the complex, Brazilian President Luiz Inacio Lula da Silva praised the investment. “Since God writes in crooked lines, He needed Ford to leave Brazil and BYD to come,” he said. “And I think it was a good replacement for us, because this is the most important technology in the global automotive industry.” Brazil also has a notable presence at this year’s CIIE, with the country’s national pavilion – organised by the Brazilian Trade and Investment Promotion Agency (ApexBrasil) – marking its eighth consecutive appearance at the event. “We are eager to export to China when Brazil-China ties are at their best in decades and China has huge demand, but we also have big challenges,” said Juliano Marques Plens, commercial manager of Brazilian grain company Coopermota, at the fair. He noted that the vast distance between the two countries has made logistics a key challenge, particularly for fresh food and agricultural products, adding that he hoped both sides could work together to reduce costs and transit times while streamlining customs procedures. Brazil is also emerging as a key food supplier to China, including soybeans and beef, with Chinese agribusinesses expanding farming and infrastructure there to meet domestic demand. In July, Cofco International, the international business platform of Chinese state-owned food processing holding company Cofco Group, said it had acquired 979 rail wagons and 23 locomotives to boost rail capacity, months after launching a new export terminal at the Port of Santos. Earlier this year, Chinese beverage company Mixue, known for its affordable ice cream and tea-based drinks, announced plans to open its first Brazilian store this year and to boost its imports of agricultural products from the country. “Food and agricultural trade between Brazil and China is more than soybeans,” Plens said. “So, there’s potential for Brazil to sell a big variety of other products to meet China’s growing demand.” However, this growing engagement has also introduced hurdles – including legal and cultural challenges, such as a controversy earlier this year over alleged violations of labour rights at BYD’s factory in Brazil – that test Chinese firms’ ability to adapt to the local environment.
