MercoPress. South Atlantic News Agency

Argentina-Brazil summit in Brasilia to discuss trade and political coordination

The presidents of South America’s largest economies will ratify the strategic relation

Brazilian Foreign Affairs minister Antonio Patriota said that trade talks is one of several points in the bilateral agenda, ‘but not the most important’, next Friday when Argentine president Cristina Fernandez de Kirchner visits her Brazilian peer Dilma Rousseff.

“Trade issues have their own normal channels consolidated in the standing dialogue between (Development, Industry and Trade) Minister Fernando Pimentel and (Industry) Minister Debora Giorgi”, said Patriota.

Next Friday President Cristina Fernandez will be in Brasilia for a regular bilateral summit at a moment when differences in trade relations between Mercosur largest members have again surfaced.

May was the latest round of the ongoing trade dispute when Brazil imposed non automatic import tariffs on cars, auto-parts and other items allegedly in retaliation for similar measures from Argentina. Brazil argued at the time that the measures were not targeted on Argentina but on the whole autos sector imports which included Asian, Mexican, US and EU suppliers.

“When you have an intense bilateral relation, it’s only natural that these kinds of situations surface and need to be addressed. It happens with any normal bilateral commercial relation of the significance that Argentina represents for Brazil”, said Patriota.

Bilateral trade between the Mercosur partners reached over 33 billion dollars in 2010 and this year is advancing at a faster pace. Brazil and China are Argentina’s main trade partners and Argentina is one of the main markets for Brazilian manufactured goods.

Patriota said that following the presidential meeting a joint communiqué will be signed assessing cooperation in space and nuclear technology as well as financial coordination and evaluation of the two countries policies in the framework of the G-20 which brings together the leading economies of the world.

Both Brazil and Argentina have repeatedly stated that Mercosur is a priority for the first and second largest economies of South America and the two countries bilateral relation is described as “strategic”. Confirming official policy President Rousseff a few days after taking office last January made her first official trip to Argentina where she met with her counterpart Cristina Fernandez.

Besides meeting with President Rousseff, Cristina Fernandez next Friday will be inaugurating the seat of the new Argentine embassy in Brasilia.