RIO de Janeiro, Feb. 7 (Xinhua) -- Summary|Brazil wants to help transform its economy through the "New Industries" program.
Xinhua News Agency reporters Chen Weihua and Zhao Yan.
The Brazilian Federation recently announced the launch of the "New Industry in Brazil" program in the capital Brasilia, hoping to promote the process of "reindustrialization" by increasing national credit lines and increasing subsidies for enterprises, and reverse the deindustrialization that has affected Brazil for decades.
It is reported that the "New Industries in Brazil" plan includes six key tasks, namely, building a sustainable and digital agricultural industry chain that guarantees food, nutrition and energy security; building a health industry economic complex; building sustainable infrastructure, sanitation, housing and transport; promote the digital transformation of the industry; promote green development; Promote the development of technologies that are related to national sovereignty and national defense.
Brazil**Lula believes that at present, the international market is fiercely competitive, and protectionism in some countries is rising, in order to improve Brazil's international competitiveness, it is necessary to increase investment and promote the export of Brazilian products.
According to the Brazil Action Plan for 2024 to 2026, presented to Lula by Brazil's Deputy Minister of Development and Industry Alckmin, the Federation will provide 300 billion reais ($1 is about 4.) for the "Brazil's New Industry" programR$97) financing. The president of the National Bank for Economic and Social Development of Brazil, Aloizio, said that in addition to the 8 billion reais provided through the capital market, the remaining 292 billion reais will be provided in the form of a specific credit line.
The Action Plan, led by Brazil's National Industrial Development Commission, sets a series of development goals for Brazil's "new industrialization" until 2033. Under the 10-year industrial development programme, Lula** will prioritize the promotion of innovation, infrastructure and industrial exports through sustainable financial instruments and credit, as well as subsidies such as tax incentives for businesses.
Brazilian industry has had a very bright time. Between 1968 and 1973, Brazil's economy grew at an average annual rate of more than 10%, making it the fastest-growing Latin American country, and the international community called it the "Brazilian miracle". However, since the 80s of the 20th century, due to the general trend of international economic development and changes in the internal economic and social environment, the Brazilian economy has shown a trend of deindustrialization and has continued into the 21st century.
Currently, the tertiary sector accounts for more than 70% of Brazil's GDP, but the growing service sector and an open and well-developed financial sector have not brought Brazil the expected long-term prosperity. Affected by the Asian financial crisis in 1998 and the international financial crisis in 2008, Brazil's economy has been up and down, and after the end of this commodity "super cycle", the ensuing inflation, unemployment, poverty, law and order problems continue to plague Brazilian society.
In recent years, Lula has repeatedly talked about the topic of "re-industrialization", hoping to promote Brazil to become one of the main manufacturers of light industrial products and daily necessities through the development of new industries labeled as digital, green and low-carbon.
José Reinado Calvalho, a political commentator at Brazil's mainstream **247 news network, believes that Brazil's "re-industrialization" mainly depends on the game between the public and private sectors, and its outcome will affect the success or failure of the "new industrialization" plan. At present, Brazil is facing many problems such as inadequate infrastructure, low level of R&D investment, and high financing costs, which are restricting the implementation of the "new industrialization" plan.
Calvalho pointed out that China has been Brazil's largest partner for 15 consecutive years, and last year it became Brazil's first export destination to break the 100 billion dollar mark, and strengthening cooperation with China will help promote Brazil's "re-industrialization". Therefore, while doing its own "homework", Brazil should focus on strengthening its strategic cooperative relationship with China.