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Brazil: Leading the Brics?

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Brazil: Leading the Brics?
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REV: AUGUST 3, 2011

ARTHUR A. DAEMMRICH ALDO MUSACCHIO

Bra azil: Leading the BRI t ICs?
On January 1, 2011, in fron of a crowd of thousand gathered o Brasília’s central espla n nt d ds on anade, Brazil newly elec l’s cted presiden Dilma Rou nt, usseff, shouted energetically, “We are living in one of the d , best periods of our national life!” She then added, “I have c o l come here to consolidat the o te formation we experienced under Presid e d dent Luis Iná ácio Lula da S Silva.”1 Know to Brazilia as wn ans transf Dilma her enthusi a, iasm appeare justified sin Brazil ha sustained a average an ed nce ad an nnual GDP gr rowth of 4% since 2000. Between 2002 and 2009, ine B equality and p poverty had d declined sign nificantly and more than 30 million Br razilians had advanced fr d rom lower in ncome strata to the midd class. Alth dle hough Brazil was not gro l owing as fast as its fellow BRIC (Brazi Russia, Ind and Chin countries India t w il, dia, na) and China, it held important le C eadership pos sitions in the Group of Tw wenty (G-20) and had beco ome a major player in multilateral trade negotiati r m ions. Yet, Bra azil’s success in World T s Trade Organiz zation (WTO disputes concerning developed country agricu O) c d ultural subsid dies, use of WTO compu ulsory licens sing provision to break patents, and diplomatic ne ns d egotiations wi Iran had g ith generated ten nsions with the United Sta and the European Uni t ates E ion. Di ilma had to decide wheth to follow the internati d her ional policies associated w s with her two o-term prede ecessor, Lula, or to advance a new agenda. During he inaugural s e er speech, Dilma started to outline n her am mbitions: “We will not make the slighte concession to protection policies in rich countri as e est n nist ies, they repress the op r pportunity for developing countries to o r overcome poverty.” To pu ursue this plan, she had to either push for develop h ped countries to reduce a s agricultural s

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