Xi and Brazil’s Lula Pledge Deeper Strategic Cooperation
Chinese President Xi Jinping and Brazilian President Luiz Inacio Lula da Silva held a phone conversation on July 27, 2026, during which both leaders committed to strengthening bilateral and multilateral strategic coordination, according to Xinhua News Agency.
The call, placed at Lula’s request, came just five days after the United States imposed 25% tariffs on most Brazilian imports — a timing that underscores Beijing’s willingness to position itself as a counterweight to Washington’s economic pressure on Latin America’s largest economy.
Context: US Tariffs and Deepening China-Brazil Ties
The United States Trade Representative finalized 25% Section 301 tariffs on Brazilian goods on July 15, which took effect on July 22. The determination cited “unreasonable acts, policies, and practices” by Brazil, further straining already tense US-Brazil relations.
China, by contrast, has been Brazil’s largest trading partner for over a decade, with bilateral trade reaching record highs in 2025–2026. Just days before the Xi-Lula call, Chinese Foreign Minister Wang Yi met his Brazilian counterpart Mauro Vieira in Manila, where Beijing voiced support for Brazil’s “sovereignty, security and development interests,” as reported by SCMP.
Key Developments from the Call
During the phone conversation, Xi emphasized that the building of a “China-Brazil community with a shared future” has made positive progress, injecting “valuable stability” into the turbulent international situation, according to the Xinhua readout. He noted that 2026 marks the 105th anniversary of the Chinese Communist Party and the beginning of China’s 15th Five-Year Plan.
Xi described China and Brazil as “important members of the Global South” who should stand on the right side of history, calling for high-quality development of “Greater BRICS cooperation” and unity within the Global South. He expressed support for Brazil’s sovereignty and opposition to external interference.
Lula, according to Xinhua, highlighted that bilateral trade had reached “new highs,” praised the ongoing “Brazil-China Cultural Year,” and expressed keen interest in expanding cooperation into artificial intelligence, energy, and mining. He congratulated China on hosting the successful 2026 World AI Conference and endorsed Xi’s vision for open and inclusive AI global governance, as reported by Anadolu Agency.
Both leaders committed to multilateralism, upholding UN authority, strengthening BRICS unity, and opposing power politics.
Analysis: A Strategic Alignment
The timing of the call is significant. With Washington imposing tariffs on Brazil while simultaneously escalating trade tensions with China, Beijing sees an opportunity to deepen its strategic foothold in Latin America. The Xi-Lula conversation signals a strengthening axis between two of the world’s largest developing economies.
BRICS — which has expanded from its original five members to include Egypt, Ethiopia, Indonesia, Iran, Saudi Arabia, and the United Arab Emirates — serves as the institutional backbone of this alignment. Both leaders emphasized “Greater BRICS cooperation” as an alternative governance framework to Western-led institutions.
The emerging focus on AI cooperation is particularly noteworthy. Lula’s specific mention of AI collaboration and his endorsement of China’s approach to AI governance suggests technology is becoming a new pillar of the bilateral relationship, especially amid global debates over AI regulation and standards.
What to Watch
Brazil is expected to assume the BRICS presidency in the coming year, which could provide a platform for further advancing the China-Brazil agenda on global governance reform. The deepening of bilateral economic ties — particularly in AI, energy, and mining — is likely to accelerate as Brazil seeks to diversify its international partnerships in response to US trade pressure.
The Xi-Lula phone call underscores a broader realignment: as the US pursues protectionist trade policies, major Global South powers are drawing closer together, reshaping the architecture of international cooperation.