“Our position is a step forward. We are not going to leave Mercosur. But we will not accept Mercosur as an ideological tool. Mercosur has a crystal-clear proposal: to be a platform for the integration of the global economy.” Guedes said.
In a note, the Economy Ministry said that the change is in line with the commitments agreed upon by Brazil in the Agreement on Trade Facilitation of the World Trade Organization (WTO) and will be part of the government’s agenda on red tape slashing.
“We need to modernize this tool. This modernization includes a reduction in the Common External Tariff (CET), because we’re above the rest of the world, which has become integrated. Out in the world, it stands at an average four to five percent, and for Mercosur it’s 13 percent,” the minister said
Guedes mentioned that Brazil plans to “unilaterally” reduce import tariffs. “We’re also talking to our friends in Mercosur, because we want a flexible and modern Mercosur,” he declared.