Brazil

The EU is negotiating a free trade agreement with Brazil as part of the EU's Association Agreement negotiations with the Mercosur countries (which also include Argentina, Uruguay and Paraguay).

Brazil is the largest economy of Latin America and its trade with the EU makes up 30.8% of the EU's total trade with the Latin America region in 2016.

Trade picture

• The EU is Brazil's second-biggest trading partner (after China), accounting for 15.9% of Brazil's total trade. Brazil is the EU's tenth-biggest trading partner, accounting for 1.8% of total EU trade (2024). Two-way trade was worth €89.5 billion in 2024, with a balance in favour of Brazil of €2.4 billion.
• Brazil is the single biggest exporter of agricultural products to the EU worldwide. Such products represented 38% of Brazil's exports to the EU in 2024. Brazil has become an important supplier of oil to the EU, with oil representing 26% of Brazil's exports to the EU in 2024. Brazil's oil exports to the EU last year were worth €11.9 billion. Around 10% of Brazil's exports to the EU are minerals, such as iron ore.
• The EU's exports to Brazil consist mainly of machinery and appliances (26.3%) chemical products (24.5%), and transport equipment (12.9%).
• EU-Brazil trade in services grew by just under 20% form 2020 to 2023. In 2023, EU exports of services to Brazil were worth €20.9 billion, while Brazil's exports of services to the EU were worth €9.3 billion. 

The EU and Brazil

Brazil's import restrictions

Brazil is one of the countries that have resorted to a high number of potentially trade-restrictive measures, according to a 2018 report from the European Commission.

The Brazilian market is highly protected with an applied customs averaging duty of 13.5%.

The EU encourages Brazil to reduce tariff and non-tariff barriers, and to promote a stable and more open regulatory environment for European investors and traders.

Fair and Ethical Trade Consultation Forum

The first EU-Brazil Fair and Ethical Trade Consultation Forum took place on 21 June 2018 in Rio de Janeiro, as part of a project designed by DG TRADE and financed by the Partnership Instrument.

The project will next focus on a study on fair and equitable trade in Brazil and is organising a second forum in December 2018.

Brazil in Mercosur

Brazil is negotiating with the EU on a free trade agreement as part of the Mercosur group.

A future EU-Mercosur Association Agreement should boost trade integration among the Mercosur countries and create new opportunities for trade and investment with the EU by removing tariff and non-tariff barriers to trade and FDI.

There's high potential economic impact is high according to a 2008 sustainability impact assessment, even though Mercosur remains a highly protected market.

The EU-Mercosur Association Agreement will cover, among other issues:

• trade in goods and services;
• investment;
• intellectual property rights (IPR);
• aspects including protection of geographical indications;
• government procurement;
• technical barriers to trade, and;
• sanitary and phytosanitary aspects.

More information on Mercosur

Trading with Brazil

• Importing into the EU from Brazil
  • EU trade defence measures on imports from Brazil
• Exporting from the EU to Brazil
  • Trade defence measures in force in Brazil
• Trade relations are part of the EU's overall political and economic relations with Brazil
• Brazil is a member of the World Trade Organization