Brazil’s finance minister urges US to adopt more supportive stance toward LatAm

Brazil’s Finance Minister Fernando Haddad on Monday urged the United States to take a more liberal and strategic approach toward industrial development in Latin America, saying the US stands to benefit significantly from deeper regional integration and investment.

In an interview with local outlet UOL, Haddad said improved US-Latin America relations could help build an “economic front” of opportunities.

While he offered no specific policy proposals, he emphasised that Brazil is actively pursuing new growth paths aligned with global trends in sustainability and digital infrastructure.

His comments come as Latin America’s economic landscape shifts.

While the US has traditionally held significant influence in the region, China has rapidly expanded its investments and diplomatic footprint, particularly in South America.

No choice between China and the US

Haddad dismissed the notion that Brazil must align exclusively with either China or the US.

Instead, he advocated a balanced, pragmatic foreign policy that engages both powers across various fronts.

China has been Brazil’s largest trading partner for over a decade, largely due to its demand for Brazilian commodities.

Meanwhile, the US remains a leader in technology and innovation, key areas where Brazil sees potential for partnership.

Haddad said President Luiz Inácio Lula da Silva’s administration aims to position Brazil as a global player open to collaboration, while pushing forward with domestic reforms that support this ambition.

Data centres as a national priority

A key component of Brazil’s economic strategy is the development of domestic data infrastructure.

Haddad revealed that Lula plans to unveil a national data centre policy upon returning from China.

The initiative will offer tax incentives to attract technology investments and reduce Brazil’s heavy reliance on imported digital services.

Currently, Brazil imports nearly 60% of its data centre capacity—an overdependence Haddad called “nonsensical” for a country of its size.

The planned executive order will support local development and position Brazil as a digital infrastructure hub.

Brazil’s renewable energy mix—over 80% from hydroelectric, wind, and solar—adds to its appeal for energy-intensive sectors like cloud computing.

Officials hope to attract both domestic and foreign investors seeking sustainable, low-emission digital operations.

The move aligns with Brazil’s broader economic vision under Lula: forward-looking, tech-driven, and rooted in regional cooperation.

Haddad concluded that Brazil’s approach to modernisation is not about choosing sides in a geopolitical rivalry, but about securing progress and resilience in a multipolar world.

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