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2009-09-30

Brazil and the EU's relationship is strengthened

Europe's importance for Brazilian companies is increasing, not only as a market, but also as a region for new investments.

The Brazilian economy has special conditions that protec
t the country against some of the problems that the European and American economies are facing. In other words, the effects are not equally significant.

Europe is increasingly seen as a relevant market for Brazilian companies - not just as a market for Brazilian products, but also as a region where new investments can be made.

There are a large number of European companies that have increased their investments in Brazil over the past ten years (such as Telefonica and Santander in Spain, Portugal Telecom in Portugal, the Mercedes-Benz and Volkswagen from Germany, Telecom Italia and Fiat in Italy and also Volvo from Sweden.)

One of the advantages is that many Brazilian companies and local subsidiaries of global companies have invested a lot of money on remodeling facilities, equipment and machinery in recent years and has therefore become more competitive. Brazilian companies from different industries also view Europe as more attractive.

On the other hand, many Brazilian companies are still learning the EU's complex parts such as various types of clients, different types of consumers, and the rules governing the European trading.

Traditionally, the most relevant part of Brazilian exports come
from large companies. But it is possible that a new trend is about to grow, more small and medium-sized businesses look to the international market.

Brazil and the EU will become closer partners in the future and Europe sees Brazil as a very reliable trading partner.


                                                                                 Cecilia Helland
Nopef
NCC