Economy Minister says Brazil has “major problem” with Argentina in MERCOSUR negotiations

RIO DE JANEIRO, BRAZIL – Economy Minister Paulo Guedes on Friday criticized Argentina’s opposition to Brazil’s separate trade agreements with other countries and alerted that there will be a “very serious” problem unless the neighboring government revises its stance on MERCOSUR.

“We are not going to leave MERCOSUR, but we are not going to be in a MERCOSUR driven by ideologies,” Guedes said while attending the monthly meeting at the Senate’s Covid-19 Temporary Committee.

“We are the ones who cannot allow… a veto… from a government…Argentina to preclude a trade agreement of ours abroad,” the Minister said after talking about hurdles in the trade agreement with the European Union (EU).

“We want to modernize Mercosur. And we are going to have a problem, because Argentina says that it demands veto power. And Brazil will not stop because there is a president in Argentina who demands veto power, ” Guedes stated, saying he has the support of his Uruguayan and Paraguayan peers.

Guedes’ criticism was not only directed to Argentina. The Minister also complained that Brazil has been falsely criticized in the international community for environmental issues.

“What is happening? We have been punished. Whether it’s for the environmental problem, whether it’s for protectionism, it doesn’t matter, as we are Brazil.”

“The truth is that abroad there is now practically a judgment and a verdict against Brazil. There are protectionist nations that fear the power, the competence of our agribusiness, and they use the environment as a disguise to launch a commercial attack on us,” Guedes said, adding that Brazil tries to do its part in preserving the environment.

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