In New Delhi, on February 21, India and Brazil set an annual bilateral trade target of $30 billion by 2030. They also signed a key agreement for cooperation in critical minerals. Prime Minister Narendra Modi and Brazil's President Luiz Inácio Lula da Silva committed to strengthening bilateral ties and navigating geopolitical challenges together.
During their discussions, Modi and Lula also discussed the implications of the US Supreme Court overturning President Donald Trump's reciprocal tariffs.
Following the talks, both sides signed nine agreements, including one on cooperation in rare earth minerals and another on establishing a futuristic digital partnership.
External Affairs Minister P Kumaran stated that the two sides discussed US trade policy and the implications of the US Supreme Court's judgment.
He said, "Both leaders agreed that it is a new development that both sides need to study its implications and wait for further developments by the US administration."
He added, "We will essentially be in a wait-and-see mode to assess the administration's response and whether further steps are taken, and to understand the implications for our trade."
President Donald Trump has imposed a new 10% global tariff following the US Supreme Court's decision.
Kumaran said Modi and Lula agreed to double the bilateral trade to $30 billion by 2030.
In their talks, the two leaders vowed to strengthen bilateral ties in various sectors, including defense, energy, healthcare, and digital public infrastructure, while emphasizing deeper India-Brazil strategic engagement to navigate the complex geopolitical environment.
Modi stated that India and Brazil are united in the belief that terrorism and its supporters are "enemies" of humanity, while also noting that both sides agree on the need to reform global institutions to address the challenges facing the world.
Lula is in India on a five-day visit, starting February 18, primarily to attend the AI Impact Summit and hold talks with Modi.
Modi said that Brazil is India's largest trading partner in Latin America. He stated, "Our trade is not just a figure; it reflects trust."
In 2024-25, India-Brazil trade reached $12 billion, with Indian exports amounting to $6.77 billion and imports from Brazil totaling $5.43 billion.
In July last year, Modi and Lula had set a bilateral trade target of $20 billion by 2030. Kumaran said the two leaders "agreed that the trade should at least double to $30 billion by 2030".
The prime minister said the agreement on critical minerals and rare earth is a major step towards building resilient supply chains.
Besides the agreement on critical minerals, India and Brazil also finalized a joint declaration on digital partnership, and signed Memoranda of Understanding (MoUs) for cooperation in areas of mining, MSMEs, healthcare, and traditional knowledge systems.
He said, "Our cooperation in the field of defense is also continuously growing. This is a great example of mutual trust and strategic coordination. We will continue to strengthen this mutually beneficial partnership."
In the context of enhancing defence ties, the two sides discussed cooperation for the maintenance of their French-origin Scorpene submarines under a tripartite agreement between Mazagon Dock Shipbuilders Limited and the Indian and Brazilian Navies.
Brazilian aerospace major Embraer's plan to set up an assembly line for its E175 regional jet in India was also discussed. The Indian side also called for the establishment of an MRO facility in India by Embraer.
In his remarks, the prime minister noted that the voice of the Global South becomes stronger and more confident when India and Brazil work together.
He said, "The India-Brazil partnership on the global stage has been strong and influential. As democratic countries, we will continue to advance the priorities and aspirations of the Global South."
He added, "We believe that every problem must be resolved through dialogue and diplomacy. India and Brazil are united in the belief that terrorism and its supporters are enemies of all humanity."
In his remarks, President Lula slammed terror attacks in Kashmir, and said terrorism must not be linked to any religion or nationality.
He said that the "turbulent global environment" requires India and Brazil to deepen our strategic ties and that dialogue between the two powers is an engagement of "superlatives".
"We are not just the two biggest democracies of the Global South. This is a meeting of a digital superpower with a renewable energy superpower. We are both mega-diverse countries, and we both defend multilateralism and peace," he said.
The Brazilian leader argued that there is no possibility of fair and sustainable development in a conflict-ridden world and quoted PM Modi's remarks at last year's BRICS summit that one can't run "21st-century software on 20th-century typewriters."
"We emphasised our commitment to the UN reform, particularly of the UN Security Council so that it represents the interests of the Global South. Brazil and India are natural candidates to become permanent members of the Security Council," he said.
Modi and Lula unequivocally condemned terrorism and violent extremism, in all its forms including cross-border terrorism and called for decisive and concerted international efforts to combat terrorism in a comprehensive and sustained manner.
In his media statement, Modi said India-Brazil relations have long benefited from President Lula's vision and that his visit has given new energy to the strategic partnership between the two nations.
Modi and Lula also discussed the expansion of the India-Mercosur preferential trade agreement (PTA). The prime minister said it will deepen economic cooperation.
"Our cooperation in technology and innovation is important for both countries, as well as for the entire Global South. I am pleased that we are working on establishing a Centre of Excellence for Digital Public Infrastructure in Brazil," Modi said.
"We are also prioritizing our cooperation in areas such as Artificial Intelligence, supercomputers, semiconductors, and blockchain. We both believe that technology must be inclusive and it must become a bridge for shared progress," he said.
The prime minister described India-Brazil energy cooperation as a strong pillar of the relationship.
"Along with hydrocarbons, we are also accelerating cooperation in many areas such as renewable energy, ethanol blending, sustainable aviation fuel. Brazil's active participation in the "Global Biofuel Alliance" reflects our shared commitment to a green future," he said.
In the talks, Brazil also proposed to co-chair the India-backed Coalition for Disaster Resilient Infrastructure (CDRI).
"I congratulate President Lula for this initiative. Brazil's extensive experience in this field will significantly contribute to further strengthening the CDRI," Modi said.
