I. Trade relations



In 2008, Brazil's total import and export volume reached us $371.149 billion, with a year-on-year growth of 32.09%. Exports totaled us $197.942 billion, up 23.3% year on year. Imports reached US $173.207 billion, up 43.6% year-on-year. The trade surplus was us $2.47 billion, down 38.3% year on year. Affected by the international financial crisis, the growth of Brazil's import and export trade slowed down significantly at the end of the year. In December, Brazil's import and export trade was 25.335 billion US dollars, up 2.1% year on year, among which export was 13.818 billion US dollars, down 2.9% year on year. Imports reached us $11.517 billion, up 8.7% year on year; The surplus was US $2.301 billion, down 36.77% year on year.



Brazil is committed to actively developing bilateral trade with China. On July 3, 2008, The Ministry of Industry and Foreign Trade of Brazil, together with the Ministry of Foreign Affairs of Brazil, the Ministry of Agriculture, the Council of Entrepreneurs of Brazil and the All-China Federation of Industry, issued a guiding document on trade with China, with a plan to increase exports of goods to China from us $10.7 billion in 2007 to US $30 billion within three years, in order to change the current imbalance in bilateral trade. The file lists the 48 industry has the potential to expand exports to China, 619 kinds of products, including pork, poultry, fish, soybean and soybean oil, animal feed, minerals, oil and derivatives, chemical products, medical products, health and cosmetic products, cleaning supplies, plastic products, rubber products, leather products, paper pulp, textile, metallurgical products, metal, machinery equipment, electronic products, railway materials, automobile and spare parts, precision instruments, and other products. The document also lists sectors Brazil hopes to attract Chinese investment, including steel smelting, logistics, agriculture and biodiesel.



Second, radiation market



Brazil is a member of the WTO and is also a member of MERCOSUL. The scope of Brazil's market is mainly mercosur countries, followed by countries and organizations with special economic and trade relations in Mercosur. Among the economic and trade agreements to which Brazil has participated and which have entered into force are:



1. Tariff Agreements among member States of CELADon



Signed by the member States of THE Latin American Integration Association (Argentina, Bolivia, Brazil, Colombia, Chile, Ecuador, Mexico, Paraguay, Peru, Uruguay, Venezuela and Cuba). According to the agreement, countries offer tariff preferences to each other. Among them, Brazil, Argentina and Mexico, which have a high degree of economic development, offer tariff preferences to other countries up to 20-48%.



2. Seed Agreement of the member States of THE Latin American Integration Association



Signed on 22 November 1991 by Argentina, Bolivia, Brazil, Colombia, Chile, Paraguay, Peru and Uruguay, to which Ecuador, Cuba and Venezuela subsequently acceded by the Protocol. The agreement exempts seed trade among member states from import duties and all other taxes.



3. Regional agreement on cultural, educational and scientific cooperation and exchange of assets among the member states of SELA



Signed on 27 October 1989, establishing the Common Market for cultural assets and services of the member States, with free movement of cultural, educational, scientific materials and artistic works among the Member States.



4. Supplementary Agreement on the Economy of Brazil and Uruguay



For automobile products, as long as they meet the rules of origin and other conditions stipulated in the agreement, the two countries will exempt each other from import tariffs.



5. Supplementary Agreement on the Economy of Brazil and Argentina



It provides for duty-free zones and preferential trade arrangements for automobile industry products between the two countries.



6. Treaty of MerCOSUR between Argentina, Brazil, Paraguay and Uruguay, signed on 26 March 1991.



7. Mercosur - Chile Free Trade Agreement, signed in June 1996.



8. Mercosur - Bolivia Free Trade Agreement, signed in December 1996.



9. Reciprocal Tariff Agreement between Brazil and Mexico, signed in August 2002.



10. Mercosur - Mexico Free Trade Agreement, signed on 15 July 2002.



11. Sadc free Trade Agreement, signed on 18 October 2004.



12. Mercosur - Mexico Automobile Trade Reciprocal Tariff Agreement, signed on 5 July 2005.



13. Mercosur - Peru Free Trade Agreement, signed on 30 November 2005.



14. Mercosur - Agreement on Reciprocal Tariffs between Colombia, Ecuador and Venezuela, signed on 16 December 2003.



15. Brazil-guyana Tariff Reciprocity Agreement, signed on 26 July 2001.



16. Brazil-suriname Reciprocal Tariff Agreement, signed on 30 April 2004.



17. Mercosur - Cuba Reciprocal Tariff Agreement, signed on 21 July 2006.



Third, absorb foreign capital



The Pakistani government welcomes foreign investment into the domestic market and implements national treatment. According to the constitution, all foreign-owned or joint-venture manufacturing enterprises in Brazil are regarded as "Brazilian national industries". Blessed with agriculture, mineral wealth and a market of 189.6 million people, Brazil has long been a top choice for international investors in South America. Since the car industry began to attract foreign investment in the 1950s, Pakistan has opened up more and more areas to foreign investment, and achieved good results. In 2008, Brazil attracted $43.9 billion in foreign direct investment, up 30.2% from a year earlier, according to the Central bank.



Main source of foreign direct investment has the United States in 2008 ($6.92 billion) ($5.94 billion), Luxembourg, the Netherlands ($4.62 billion), jersey ($4.1 billion), Spain ($3.79 billion), France ($2.86 billion), the cayman islands ($1.55 billion), Canada ($1.44 billion), Australia ($1.15 billion), the Bahamas ($1.1 billion), the U.S. virgin islands ($1.05 billion), Bermuda ($1.04 billion), Germany ($1.04 billion), Portugal (9, 1.03 billion Yuan).



In 2008, Pakistan attracted foreign direct investment in agriculture, animal husbandry and mining (US $13.0 billion), including non-metallic mining (US $10.64 billion) and oil and natural gas extraction (US $1.38 billion). Industry (us $14.01 billion), including steel industry (US $4.98 billion), coke production, food processing (US $2.23 billion), petrochemicals and biofuels (US $1.64 billion); Services (us $16.88 billion), of which finance (US $3.80 billion), finance, insurance services and ancillary health and welfare services (US $1.91 billion), real estate (US $1.72 billion), wholesale trade excluding automobiles (US $1.64 billion) and construction (US $1.39 billion).



Fourth, China-Pakistan economy and trade



According to the statistics of The Chinese Customs, the trade volume of goods between China and Pakistan in 2008 was US $48497.6 billion, up 63.2% over 2007, of which China's export was US $18.750 billion, up 64.9%. Imports reached us $29.747 billion, up 62.2%. China's deficit was US $10.996 billion, up 57.97%.



The commodities exported by Brazil to China mainly include soybean, iron ore, petroleum, soybean oil, pulp, ferroalloy, hair removing leather, tobacco, aircraft, manganese ore and so on.



The commodities imported by Brazil from China mainly include communication equipment parts, LIQUID crystal display devices, coke, TV receiving and sending equipment, mobile phones, computer parts, printed circuits, printed circuits, motorcycle parts, batteries, fertilizer, automobile tires and so on.



By the end of 2008, the actual investment of Chinese enterprises in Pakistan had reached 220 million US dollars. Among them, in 2007, my investment in Pakistan reached usd 2,004,000,000, up 106% year on year. In 2008, China invested us $284.7 billion in Pakistan, up 42.1% year on year. The main fields of Chinese enterprises' investment in Pakistan include: mining development, steel, air conditioning, motorcycles, telephones, agricultural and livestock products and decoration production and sales. By the end of 2008, Pakistan had invested a total of 451 foreign-funded enterprises in China, with an actual investment of 280 million US dollars, mainly involved in regional aircraft manufacturing, compressor production, coal, real estate, auto parts production, hydropower generation and textile and garment projects.



Since 1984, Chinese enterprises have carried out economic cooperation in Brazil, mainly involving contracted projects and labor cooperation. They have successfully completed aerial survey of land reclamation and dredging projects in Brazil. By the end of 2008, a total of US $3.44 billion and A turnover of US $2.25 billion had been signed between Chinese enterprises and Brazil in contracting labor services and design consulting. At present, the major projects implemented and tracked by our company in Brazil include: Kasene-Gas pipeline project, Part C of Phase II of Kandiota thermal power plant and other projects.