Japan seeks agenda with Lula to discuss agreement with Mercosur

According to the publication, Japanese Prime Minister Sanae Takaichi is trying to schedule a meeting with President Luiz Inácio Lula da Silva (PT) on the occasion of the G7 summit to be held in mid-June in France, where she will present her proposal to the Brazilian leader.

If initiated, these would be the first negotiations for a free trade agreement by the Takaichi government, which took power in October last year with an ambitious agenda to revive Japan’s stagnant economy.

According to the newspaper, the agreement with Mercosur would focus on reducing customs duties on automobiles, as well as diversifying Japan’s sources of oil and critical minerals.

Currently, the Asian country imports around 90% of its crude oil from the Middle East, and the closure of the strategic Strait of Hormuz due to the war caused interruptions in its supply, which forced the authorities to release millions of barrels of its strategic reserves onto the market, among other measures.

Last week, during a meeting with Foreign Minister Mauro Vieira in Tokyo, Japanese Economy Minister Ryosei Akazawa pointed to Brazil as a possible source of crude oil, amid disruptions due to the closure of Hormuz.

The archipelago is also trying to diversify its sources of critical minerals such as rare earths, for which it largely depends on Chinese exports.

Japan and Mercosur have been advancing for years the possibility of signing a free trade agreement. In December last year, both parties agreed to strengthen their bilateral relations by reaching a Strategic Association Framework.