About Brazilian Desk
A strong upturn in Brazilian exports has been visible since the beginning of 2017. April 2017 exports were up 4.6% (year on year) which was the highest since July 2012. The trend is expected to continue as Brazil’s global trade recovers with exports to China and the USA leading the way. Imports have recovered as well, but not as fast as exports.
Even if Foreign Direct Investment (FDI) flows declined in 2016, Brazil remains the largest recipient of FDI in Latin America and the eighth largest recipient in the world. Several factors make Brazil attractive for international investors notably its domestic market of nearly 210 million inhabitants and easy access to raw materials.
The Benelux, Spain and the United States are all important investors in Brazil. Key sectors attracting FDI include finance, beverages, oil and gas and telecommunications. Regulatory compliance and labour laws are areas where investors experience difficulty. As regards Outwards FDI (OFDI), Brazil is the largest investor in other Latin American countries and is an important investor in emerging markets. The creation of MERCOSUR (‘Mercado Comum do Sul’ – the active full members are Argentina, Brazil, Paraguay and Uruguay) contributed to the international expansion of Brazilian companies.
As regards OFDI, FLINN’s commercial, corporate and labour law services assist Brazilian companies wishing to establish themselves in the EU. Together with leading local counsel, FLINN facilitates arrangements for Benelux companies who wish to invest in Brazil. Export and import questions are dealt with by our international trade and customs law practice.