Brazil, South Korea form task force to boost Mercosur trade deal

Brazil and South Korea have launched a strategic committee to smooth the path toward a free trade agreement between the Asian nation and the Mercosur bloc. The announcement came from Brazilian President Luiz Inácio Lula da Silva and his South Korean counterpart, Lee Jae-myung, in Brasilia.

This joint working group will pinpoint potential sticking points for both sides, preventing them from becoming roadblocks in the Mercosur-South Korea trade talks. Lula stated that the committee's goal is to ensure negotiations can resume without further delays.

President Lee emphasized South Korea's keen interest in developing Brazil's critical minerals industry, seeing it as an opportunity to invest across the entire resource lifecycle. He highlighted the potential for a stable supply chain that benefits both nations, particularly in the context of the global energy transition.

This focus on adding value to critical minerals within Brazil aligns with President Lula's administration's broader economic strategy. The goal is to move beyond a historical reliance on raw material extraction and foster domestic processing capabilities.

Beyond the trade talks, the two countries solidified cooperation with agreements in defense, aerospace, science, education, culture, and sports. Notable among these is the planned launch of a rocket from Brazil's Alcântara space center in September and the potential sale of Embraer's C-390 aircraft to the South Korean Air Force. Bilateral trade, which reached nearly $11 billion in 2025, is expected to grow significantly following these initiatives.