Mercosur-European Union agreement will not be signed without adjustment, says Lula

“What do the Europeans want in the agreement? That Brazil opens the doors to government purchases. That is, they want the Brazilian government to buy foreign things instead of Brazilian things. And if they do not accept Brazil’s position, there is no agreement. We cannot abdicate government purchases, which are the opportunity for small and medium-sized companies to survive in this country”, said Lula in a speech to Eletra’s employees and directors.

The company inaugurated new facilities on Rodovia Anchieta, in the ABC Paulista region, with an area of ​​27,000 square meters (m²) and capacity to produce 1,800 buses per year, reaching 2,700 units depending on demand.

Productive chain

“Brazil now has a complete production chain of electric buses, with a network of technical assistance and replacement of national parts”, assured the president of Eletra, Milena Braga Romano.

For Lula, the Brazilian state needs to act to reindustrialize the country. The president recalled that the industry, which accounted for more than a third of national income, today represents approximately 11% of the Bruno Domestic Product (GDP, the sum of goods and services produced in the country).

“It is up to the Brazilian state to guarantee the survival of the Brazilian industry so that we can one day be competitive with the outside world. So, if we have to buy something, we have to value that Brazilian product that generates jobs and income in Brazil, and improve people’s quality of life,” Lula said, defending the government procurement policy as a way to encourage the development of domestic industry.

In the case of electric buses, the legislation itself in different states and cities already requires a transition from public transport from diesel-powered vehicles to electric vehicles or vehicles with less environmental impact.

GDP and exports

Also present at the event, the Vice President of the Republic and Minister of Development, Industry, Commerce and Services, Geraldo Alckmin, celebrated the GDP result for the first quarter, which grew by 1.9%.

“The Brazilian GDP is in the top 5, that is, among the top five that grew in the first quarter of this year. Generally, the first quarter is weak and, surprisingly, we had a growth of 1.9% and, compared to the same quarter last year, 4%”, said Alckmin.

The vice president also highlighted the May result of Brazilian exports, which reached US$ 33 billion, the highest in the historical series measured by the government for the month. The balance of trade (exports minus imports) was US$ 11.4 billion.