Brazil and South Korea expand technology cooperation

Brazil's President Dilma Rousseff and South Korea's Park Geun-hye signed on Friday (Apr 24) nine cooperation agreements that are expected to bring technological innovations to Brazil and promote the exchange of specialists. The two countries have launched an initiative entitled Brazil-Korea IT Cooperation Program. The deals are to welcome the participation of companies, universities, and research institutes, and should create business opportunities and encourage the development of state-of-the-art technology serving both national and international markets.

Among the topics on the agenda of the visit are internet governance, 5G mobile communication, and big data—which comprises the analysis of large amounts of data to generate results which could hardly be obtained through smaller packages. The agreement also covered the application of M2M, also referred to as the Internet of Things (IoT), which enables the exchange of information between objects, like glasses, watches, and other gadgets equipped with internet access.

Brazil and South Korea are also to cooperate in the nuclear energy sector by means of the exchange of data, experiences, visits and joint efforts between the companies Eletronuclear/Eletrobrás and Korea Electric Power Company (KEPCO). President Rousseff noted that this partnership is crucial to reducing the carbon dioxide emitted in the production of thermal energy in countries like Brazil. She went on to describe the measure as a strategy to address the subject of climate on a global scale.

Also among the nine pacts is a memorandum of understanding between mining company Vale S.A. And Korea Eximbank aimed at funding Vale projects involving Korean firms, adding up to nearly $2 billion. Rousseff used the opportunity to announce her plan to inaugurate by late 2016 the Companhia Siderúrgica do Pecém in the northeastern state of Ceará, as part of a joint venture by Brazilian Vale and Korean firms Dongkuk and Posco.

Today, South Korea accounts for approximately $3 billion worth of investments in the South American country, especially in the industries of automobiles, semiconductors and metal. From 2009 to 2014, bilateral trade between the two nations went from $7.47 billion to $12.35 billion. The balance of trade has been negative for Brazil. In 2014, Brazilian exports added up to $3.83 billion and imports to $8.52 billion. In 2009, the deficit stood at $2.16 billion.

Translated by Fabrício Ferreira