China and Brazil steams up trade ties

Tuesday, 25 May 2004 13:37:33 (GMT+3)   |  
       

China and Brazil steams up trade ties

China and Brazil decided to strengthen cooperation by signing agreements on Monday to work together in health, commerce, science, agriculture, food safety and sports. President Hu Jintao of China said this situation will increase the understanding and trust between the two countries and will also improve the strategic partnership between China and Brazil. China is currently Brazil's third largest trade partner after US and Argentina, however Brazilian officials expect China to take second place this year. Brazil aims to increase its exports to Asia's fastest growing economy this year in hopes of obtaining growth in country's economy. Last year, trade between China and Brazil reached about $8 billion. China and Brazil signed about fifteen cooperative agreements in fields like steel, coal and automobile manufacturing, according to the statement made by official press agency Xinhua. Among these agreements, Brazil's state owned oil company Petrobras and China's Petroleum Chemical or Sinopec also agreed to cooperate in oil exploration, production, refining and fuel sales. Sinopec is one of the China's leading oil companies and managed by the government. Separately, Brazilian mining company Vale do Rio Doce (CVRD) and Aluminum Corp of China or Chalco signed a framework agreement to construct a $1 billion alumina plant in northeastern Brazil.