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Strengthening Saudi–Brazil Cooperation

2025-05-25
Writer: Hannan Alghamdi*

Introduction

Over more than five decades, Saudi Arabia and Brazil have developed an increasingly multifaceted partnership spanning diplomacy, economics, defense, and culture. Formal relations began in 1968 and have intensified over the past two decades through reciprocal high-level visits, enhanced trade flows, and newly institutionalized mechanisms of cooperation. Economically, Saudi Arabia is Brazil’s leading trading partner in the Middle East, while Brazil plays an important role in the Kingdom’s food security and infrastructure development agenda. Politically, the two nations share a mutual respect for sovereignty, value multipolarity in international affairs, and coordinate increasingly within the G20 and BRICS frameworks. Recent years have also witnessed the expansion of bilateral security and defense cooperation, culminating in a 2024 defense agreement, and early efforts in cultural exchange, tourism, and education are beginning to take root.

As Saudi Arabia pursues Vision 2030 and Brazil seeks to modernize its economy and assert global leadership, there is significant untapped potential for deeper collaboration. This brief evaluates current developments in four key pillars - political/diplomatic ties, economic and trade relations, defense and security cooperation, and cultural engagement - before offering recommendations to expand this partnership.

1. Political and Diplomatic Relations Historical Context and Foundational Agreements

Saudi–Brazil diplomatic relations began in 1968 with the establishment of embassies in each other’s capitals. In 1973, Brazil opened its embassy in Jeddah (later moved to Riyadh), and Saudi Arabia established its embassy in Brasília. The two countries quickly identified mutual opportunities in trade and development, leading to the signing of an Economic and Technical Cooperation Agreement in 1975. That same year, a Joint Commission was created to oversee bilateral initiatives.

Despite early momentum, the relationship remained largely symbolic for several decades. However, this changed in the late 1990s and early 2000s, as both countries began exploring the potential of South–South cooperation. A key milestone was Crown Prince Abdullah’s visit to Brazil in 2000—the first visit by a senior Saudi leader to Latin America. In 2005, President Luiz Inácio Lula da Silva convened the first Summit of South American–Arab Countries (ASPA), reflecting Brazil’s intent to diversify its foreign policy toward the Middle East. His 2009 state visit to Riyadh was the first by a Brazilian president to Saudi Arabia, resulting in a General Cooperation Agreement and a Memorandum of Understanding for political consultations (Ministério das Relações Exteriores).

Institutionalization and High-Level Visits

Since 2009, bilateral diplomacy has become more structured and active. The Brazil–Saudi Arabia Joint Commission was reactivated in 2015 and has since convened meetings to coordinate on foreign policy, energy, agriculture, and security.

President Jair Bolsonaro visited Riyadh in 2019, securing significant investment pledges from the Saudi Public Investment Fund (PIF). In 2023, President Lula’s return to Saudi Arabia led to an ambitious bilateral agenda, including discussions on energy cooperation, infrastructure development, and environmental sustainability. The visit also coincided with Saudi Arabia’s successful bid to join BRICS, which Brazil strongly supported.

On the Saudi side, Foreign Minister Prince Faisal bin Farhan visited Brasília in 2021, and multiple trade and investment delegations followed. A major diplomatic achievement was the signing of a Memorandum of Understanding in 2024 establishing a Brazilian–Saudi Coordination Council, designed to enhance cross-sectoral dialogue, streamline visa processes for businesspersons, and foster greater strategic alignment.

Strategic Convergence in Foreign Policy

While Brazil and Saudi Arabia differ in political systems, they often align in international affairs. Both countries emphasize the principle of sovereignty, advocate multipolarity, and seek greater representation for developing nations in global governance. Their collaboration within the G20 offers a shared platform to address trade imbalances, climate finance, and energy transition.

Nonetheless, there are nuanced differences. Brazil’s foreign policy under President Lula often takes a more vocal and assertive position on international issues such as political reform and global justice, while Saudi Arabia follows a more measured and discreet diplomatic approach, advancing similar priorities through gradual and calculated steps. Tensions have surfaced, such as under Bolsonaro’s government, which proposed relocating Brazil’s embassy in Israel to Jerusalem, drawing criticism from Arab states. However, following the reelection of President Lula, Brazil recommitted its support to a two-state solution in the Israeli-Palestinian crisis, realigning with Saudi Arabia on Middle East peace.

Despite some differences then, diplomatic relations have remained pragmatic and resilient. Both countries have consistently supported each other’s candidacies in multilateral organizations and cooperated in forums addressing pandemic recovery, food security, and climate policy.

2. Economic and Trade Relations

Trade Structure and Volume

Saudi Arabia is Brazil’s largest trading partner in the Middle East. In 2022, bilateral trade totaled approximately $8.22 billion, up from around $1.2 billion in the early 2000s. The trade relationship is marked by complementarity: Saudi Arabia exports oil, fertilizers, and petrochemicals, while Brazil provides food and agricultural products.

Brazil’s exports to Saudi Arabia include halal poultry and beef, sugar, corn, and soybeans. In 2022 alone, Brazilian meat exports to Saudi Arabia were valued at nearly $3 billion. These exports contribute directly to Saudi Arabia’s food security, given its arid climate and heavy reliance on imported food. In return, Saudi Arabia supplies Brazil with essential hydrocarbons and fertilizers, which are critical to Brazil’s agribusiness sector.

Mutual dependence in key sectors creates a solid foundation for bilateral trade. Leaders from both countries have set an ambitious goal of reaching $20 billion in trade volume by 2030, an outcome that would require diversification into higher-value goods, services, and technologies.

Investment and Infrastructure Collaboration

Investment flows between Saudi Arabia and Brazil have grown significantly in the last decade. Saudi investments in Brazil, largely channeled through the Public Investment Fund (PIF) and SALIC (the Saudi Agricultural and Livestock Investment Company), exceed $3.5 billion.

These investments target key sectors:

  • In mining, the PIF-led consortium acquired a stake in Vale’s base metals division in 2023.
  • In agribusiness, SALIC co-invested with Minerva Foods and formed joint ventures with BRF, Brazil’s largest meat processor.
  • In infrastructure, Saudi capital is entering Brazil’s transport and logistics sectors, notably through concessions in roads and railways, which are crucial for agricultural exports.

On the Brazilian side, companies like Embraer, BTG Pactual, and Oncoclínicas are increasing their footprint in the Kingdom, attracted by economic reforms under Vision 2030. BTG opened offices in Saudi Arabia, while Embraer is expanding both civil and defense-related operations.

Green Energy and New Sector Synergies

Green energy presents a promising frontier for collaboration. Brazil is a global leader in ethanol and renewable energy, while Saudi Arabia is investing heavily in green hydrogen and carbon capture as part of its Vision 2030 goals.

During President Lula’s 2023 visit, both countries signed a Memorandum of Understanding on energy cooperation, covering renewables, oil, natural gas, hydrogen, and carbon technologies. Lula famously stated Brazil could become “the Saudi Arabia of green energy,” indicating a vision of synergetic cooperation.

Other emerging sectors include:

• Pharmaceuticals and biotech

• Logistics technology and smart ports

• Defense industry investment (see next section)

Barriers and Policy Challenges

Despite momentum, several challenges persist:

• Complex regulations and tariffs, especially in Mercosur countries, hinder Saudi entry into the Brazilian market.

• Geographic distance increases transportation costs and delays.

• Cultural and informational gaps between the business communities require intermediaries like the ArabBrazilian Chamber of Commerce.

Efforts are underway to resolve these issues. The Brazil–Saudi Investment Cooperation and Facilitation Agreement, though still pending ratification, promises to reduce investor risks and promote two-way FDI. Meanwhile, negotiations around a Mercosur– GCC free trade agreement, long stalled, are receiving renewed political attention.

3. Defense and Security Cooperation

Strategic Breakthroughs in 2024

Historically limited, defense cooperation between Saudi Arabia and Brazil saw a turning point in June 2024 with the signing of a comprehensive Defense Cooperation Agreement. The accord includes provisions for joint military exercises, personnel training, defense technology transfer, and intelligence cooperation.

This agreement reflects Saudi Arabia’s desire to diversify its defense partnerships and Brazil’s ambition to become a global arms exporter. It also aligns with Saudi Arabia’s Vision 2030 objective to localize 50% of its defense spending, opening opportunities for Brazilian firms to co-produce equipment within the Kingdom.

Industry Collaboration: SAMI and Embraer

One of the most promising developments is the partnership between SAMI (Saudi Arabian Military Industries) and Embraer, formalized through a 2023 MoU. The deal focuses on cooperation around the C-390 Millennium military transport aircraft, including plans for local assembly, maintenance hubs, and integration of mission systems.

This cooperation marks a historic entry of Brazilian aerospace and defense technologies into the Gulf defense market. Other firms, such as Avibras (ASTROS II artillery systems) and Condor (non-lethal weapons), are also exploring opportunities in Saudi Arabia.

Counterterrorism and Global Security Brazil and Saudi Arabia are aligned in their rejection of terrorism and support for counter-extremism measures. Brazil participates in global efforts to disrupt terrorist financing and has hosted intelligence exchanges in coordination with the U.S. and Middle Eastern partners following the exposure of extremist networks in South America.

The 2024 defense agreement explicitly includes counterterrorism cooperation, especially around training, cyber defense, and intelligence sharing. There is also potential for collaboration in peacekeeping operations, where Brazil has experience (e.g., Haiti, Lebanon) and Saudi Arabia has funding capacity and regional influence.

4. Cultural and People-to-People Exchanges

Academic and Educational Ties

Academic and educational cooperation between Saudi Arabia and Brazil is still in its early stages but shows encouraging signs. The two governments have discussed formalizing cooperation through a Memorandum of Understanding on Education and Scientific Research, still under negotiation.

Saudi Arabia’s King Abdullah Scholarship Program has funded a small but growing number of Saudi students to study in Brazil, particularly in the medical and engineering fields. Conversely, Brazilian universities have hosted faculty exchanges, Arabic language courses, and collaborative research in energy and sustainable agriculture. Future cooperation could benefit from exchange programs focused on tropical agriculture, biotechnology, public health, and urban planning.

Cultural Diplomacy and Creative Exchange

Cultural diplomacy has gained momentum. In early 2025, Riyadh hosted a Saudi–Brazil cultural festival under the “Eltiqa” initiative, featuring traditional music, dance, cuisine, and a collaborative art exhibit entitled “Harmony,” created by Brazilian and Saudi artists.

The event was part of Saudi Arabia’s wider cultural openness agenda under Vision 2030, and Brazil’s Ministry of Culture supported reciprocal activities showcasing capoeira, samba, and Brazilian cinema. Meanwhile, Brazil’s long-standing Arab heritage, due to its large Lebanese and Syrian diaspora, provides cultural bridges that can be deepened through language programs and cultural centers.

Sports play an important role in informal diplomacy, and Brazil’s legendary football tradition has influenced Saudi Arabian sports for decades. Since the 1980s, numerous Brazilian coaches have led the national teams—Carlos Alberto Parreira guided Saudi Arabia to an AFC Asian Cup title in 1988, Marcos Paquetá managed the team during the 2006 World Cup, and Hélio dos Anjos took them to the 2007 Asian Cup final. These figures helped shape Saudi football while serving as informal ambassadors of Brazilian culture in the Kingdom.

Tourism and Visa Facilitation

One of the most promising developments in cultural and people-to-people ties is the 2024 visa agreement, which allows 5-year multiple-entry tourist and business visas for citizens of both countries. The agreement excludes pilgrimage (Hajj) visas but greatly simplifies access for students, investors, and tourists.

Direct flights between Riyadh/Jeddah and São Paulo were announced in 2024, with plans to launch the routes in the near future. This development is expected to ease travel and strengthen tourism and business ties between the two countries.

For Brazil, attracting Saudi tourists—drawn to eco-tourism, beaches, and cultural festivals—presents an opportunity. For Saudi Arabia, initiatives like the Red Sea project and heritage tourism create new destinations for Brazilian visitors, especially those combining Umrah with leisure travel.

While progress in tourism, sports, and education has added a valuable human dimension to Saudi–Brazil relations, the significance of the partnership extends far beyond cultural ties. Its true potential lies in the strategic alignment of both countries' broader ambitions. As Saudi Arabia and Brazil pursue transformative national agendas, there is a timely opportunity to coordinate efforts in trade, investment, defense, and global governance. Building on existing momentum, the next step is to translate shared interests into concrete, sustained collaboration. The following recommendations propose practical measures to deepen and institutionalize cooperation across key sectors.

5. Policy Recommendations

To advance this strategic partnership, the following policy recommendations are offered:

1. Fully operationalize the Brazilian– Saudi Coordination Council, with rotating annual chairs, a permanent secretariat, and sectoral subcommittees (e.g., trade, defense, culture).

2. Finalize and ratify the pending Investment Cooperation and Facilitation Agreement (CFIA) and the Educational Cooperation MoU to promote legal certainty and academic mobility.

3. Revive Mercosur–GCC free trade negotiations and explore a bilateral interim agreement to reduce tariffs on food, fertilizers, and renewable technologies.

4. Establish a Brazil–Saudi Sovereign Investment Fund, led by BNDES and PIF, to co-finance infrastructure and energy projects, including rail, ports, and green hydrogen plants.

5. Deepen defense collaboration by:

- Launching a Bilateral Defense Committee.

- Initiating joint military training (e.g., Brazilian jungle warfare and Saudi desert combat).

- Finalizing procurement deals for Brazilian systems like Embraer aircraft or Avibras artillery.

6. Promote cultural exchange and tourism by:

- Hosting annual “Saudi–Brazil Culture Weeks” in Riyadh and São Paulo.

- Establishing a joint initiative between leading universities in Saudi Arabia and Brazil to fund 50 annual university scholarships and promote academic exchange. The program would be called the Arab–Latin Academic Bridge.

- Supporting Arabic language centers in Brazil and Portuguese instruction in Saudi Arabia.

7. Coordinate in global forums by:

- Backing each other’s UN candidacies.

- Cooperating on G20 development agendas (e.g., food security, climate finance).

- Launching joint development projects in Africa, combining Saudi capital with Brazilian technical expertise.

6. Future Outlook

The Saudi–Brazil partnership has evolved from a peripheral relationship into a multidimensional engagement. While challenges remain—from regulatory hurdles to limited cultural familiarity—the convergence of long-term interests is unmistakable.

By 2030, the two countries could anchor a new model of South–South cooperation that connects Latin America and the Gulf in trade, energy, defense, and innovation. With political will, strategic investment, and deeper people-to-people engagement, Saudi Arabia and Brazil are well-positioned to become enduring partners shaping a more balanced, multipolar global order.

A comprehensive partnership will not only serve national interests but also demonstrate that diverse regional powers—united by mutual respect and shared goals—can lead in building global cooperation in the 21st century.

*Hannan Alghamdi is a Researcher at the Gulf Research Center (GRC)

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