The BRIX foreign ministers of the developing countries met to discuss the adoption of a common means of defending the global trade system and coordinating their response to the new customs duties imposed by US President Donald Trump.
It is expected that the meeting in Rio de Janeiro will be issued by a joint statement criticizing “unilateral measures” on trade from the group formed by Brazil, Russia, India, China and South Africa, and has recently expanded to include 6 other countries.
Awaited criticism
“The ministers are negotiating an announcement to reaffirm the centralization of multilateral trade negotiations as the main axis of work in trade,” said Brazil’s representative in Brax Mauricio Lerio yesterday.
He added: “They will reaffirm their criticism of unilateral measures, whatever their source, which is an old position of the BRICS.”
The expanded BRICS group that added Egypt, Saudi Arabia, the UAE, Ethiopia, Indonesia and Iran last year face major challenges due to American trade measures.
China, which has been imposed by customs duties by 145% on its exports to the United States, is pressing the formulation of the statement in the most tone, but a source familiar with the negotiations said that the final text will be criticism, not clash.
The BRICS Group is subject to criticism from Trump, which threatened to impose other customs duties by 100% if the bloc goes on the adoption of a unified currency that replaces the dollar in trade relations.
Reuters reported in February that Brazil has already abandoned a unified currency during its presidency of the group, but its agenda may pave the way to reduce dependence on the dollar in global trade.
Climate
With the focus on the United Nations Climate Summit hosted by Brazil in November, Prix ministers will also discuss a joint position on financing for climate change, which is one of the main priorities of Brazil in its presidency.
Pressure increases on major developing countries, including China, from rich countries to contribute to financing adaptation initiatives and mitigating the effects of climate change in the poorest countries.
“What is not included in the agenda is to review the countries that must pay the costs of transformation in the energy and countries that ultimately can, voluntarily, fund it. This discrimination is very important,” Lerio said.
He added, “The financial commitment to funding climate change and transformation in the field of energy in developing countries falls on the rich countries.”
