Heads of government from the EU, Latin America and the Caribbean are meeting in Brussels. The relationship between the states is to be renewed – in order to work together more closely on trade, climate protection and the Ukraine war. But there are conflicts.
Sometimes it seems like a meeting between friends – for example when Ursula von der Leyen greets Luis Inacio Lula da Silva on the summit. With this president, Brazil is back on the world political stage, says the head of the EU Commission, visibly pleased. “We need close friends at our side in view of the war in Ukraine and climate change,” said von der Leyen.
First meeting since 2015
But the close friends haven’t seen each other for eight years – the last summit of this kind between the EU, Latin America and the Caribbean was held in 2015. Therefore, the meeting also marks a new beginning. China is now Brazil’s largest trading partner. The free trade agreement between the EU and the Mercosur economic alliance is on hold because its members Brazil and Argentina reject additional EU requirements for the environment and human rights.
Commission President von der Leyen emphasizes: “Our goal is to settle all remaining points of contention as quickly as possible so that we can conclude this agreement, which will benefit both sides. It is intended to reduce tariffs and create one of the largest free trade zones in the world with more than 700 Millions of people But so far the South Americans have resisted proposals for an additional declaration to the agreement.
Expectations are limited
A breakthrough is not expected at the summit. But Brazil’s head of state, Lula, expects this to happen in the coming months: “We want to conclude a balanced Mercosur-EU agreement this year. That will open up new horizons and enable both sides to tackle current and future challenges.”
One challenge for the summit is how to deal with the Ukraine war. The EU wants to condemn the Russian aggression in the final declaration. But some host countries find it difficult. Six of them did not support the relevant UN resolution of March 2022.
The question of consensus
Ralph Gonsalves is Prime Minister of the Caribbean state of Saint Vincent and the Grenadines and acting chairman of the international community: he is not yet sure what they will get and what the wording will look like, said Gonsalves. We’re just discussing it.
“The various states voted at the United Nations, including my own, which condemned the aggression,” Gonsalves continued. “But other countries have abstained or have taken a different stance. And we need to find consensus language that includes everyone.”
investments in the future
One thing is certain: the renewed partnership with Latin America and the Caribbean will cost the EU 45 billion euros over the next five years. The money comes from the EU budget, from the member states and the European Investment Bank.
The funds are intended to help secure Europe’s supply of critical raw materials such as lithium. This is said to come from Argentina and Chile and is used to make batteries for electric cars. The money is intended to help expand telecom networks in the Amazon region, operate a metro line in Colombia, purchase electric buses in Costa Rica or modernize high-voltage lines in Paraguay.
The investments are made through the so-called Global Gateway Initiative. This is Europe’s answer to China’s “New Silk Road” project – an attempt to secure global influence by investing billions.