2 Industry and trade cooperation
Brazil is the largest economy in Latin America and an important trade and investment partner for Norway. The market is particularly important for Norwegian companies operating in the petroleum, energy, maritime, process and seafood sectors. Many large Norwegian companies have investments in the country, and Norwegian expertise, experience and solutions are in demand.
Many of Norway’s export-oriented policy instruments are set up in Brazil. Innovation Norway, the Norwegian Seafood Council and Norwegian Energy Partners are all represented in the country. Together with the foreign service missions, they collaborate through Team Norway to offer a wide and coordinated range of services to Norwegian businesses with interests in Brazil.
The petroleum and energy sector.
Norway’s and Brazil’s petroleum and energy sectors share several similarities. In both countries, a significant share of the energy production comes from renewable sources, especially hydropower. In addition, both Norway and Brazil have extensive oil and gas operations, and Brazil’s oil and gas sector is among the largest in the world. Brazil sees itself as a leading country in the global energy transition while at the same time seeking a balanced further exploration and utilisation of its significant oil and gas resources. Production is expected to increase, driven by major investments and new technology. This will create new opportunities in a market that is already one of the most important for suppliers to the offshore industry. Brazil has a large share of biomass energy and increasing use of wind and solar energy. The country is well positioned for further growth in renewable energy and low-carbon solutions. New regulatory frameworks for the storage of CO 2 in geological formations and offshore energy production are paving the way for the development of a market for carbon capture and storage and for offshore wind power.
Brazil will continue to be an important partner for Norway and Norwegian industry in light of the development of the petroleum sector and renewable energy. The substantial revenues from these industries are important for the development of the Brazilian society.
Maritime sector.
As one of Norwegian shipping’s most important markets, Brazil is vital to the maritime sector. Several Norwegian shipping companies are established in the country, mainly linked to the oil and gas sector, where around one in four vessels on the Brazilian continental shelf is Norwegian-controlled. The average age of the Brazilian offshore fleet is high, and significant investments are expected in the coming years. Brazil also has great ambitions in offshore wind, and the construction and maintenance of offshore wind farms is another area where Norwegian shipping companies have a leading position. Combined, this can offer opportunities for Norwegian companies and for bilateral cooperation on issues such as knowledge, digitalisation and green transition.
The process industry.
Brazil produces minerals that are used in the Norwegian process industry. Such minerals include alumina, which Norwegian companies use as input factor in aluminium production in Norway, and ammonia, which is used to make products such as fertilisers.
The seafood sector.
As the second most important market for Norwegian clipfish after Portugal, Brazil is also an important market for Norwegian seafood. In 2024, exports of clipfish accounted for around 98 % of total Norwegian seafood exports to the country. The same year, Norway and Brazil reached an agreement on a new health certificate for the export of aquaculture products to Brazil, which is an important step towards ensuring that Brazil can also import Norwegian salmon. Agreement was also reached on terms for the export of herring to Brazil. The Brazilian seafood market is regulated and bureaucratic. Ensuring access to the market requires continuous follow-up from the Norwegian authorities in the form of responding to notifications, listing businesses and interpreting regulations. Norway has a constructive bilateral dialogue with the Brazilian authorities and considers dialogue with the authorities to be essential for safeguarding market access for Norwegian seafood to Brazil.
Strengthening bilateral dialogue and framework conditions for businesses.
It is important for Norway to have a close bilateral dialogue with Brazil and good framework conditions for Norwegian businesses that want to operate in the country. The trade policy framework for the relationship between Norway and Brazil is the WTO regulations. In addition, negotiations are currently underway on a trade agreement between the EFTA states and the Mercosur countries, which when finalised will cover trade in goods and services, as well as topics such as investment, intellectual property, public procurement and trade and sustainable development. Brazil applies relatively high tariffs on imported goods, and the potential for increased Norwegian goods exports by entering into a trade agreement is therefore great. An agreement will provide more predictability for Norwegian service providers and investments, and will ensure that Norwegian service providers have access to provide services in a number of sectors on an equal footing with Brazilian service providers.
To give Norwegian companies greater predictability in relation to Brazilian tax authorities and better facilitate the avoidance of double taxation, Norway and Brazil entered into a new agreement in 2022 that revises the old agreement in this field from 1980. The new agreement entered into force on 1 January 2025.
Within maritime issues, Norway and Brazil cooperate well bilaterally and internationally in the International Maritime Organisation (IMO). To structure the bilateral dialogue, a Memorandum of Understanding (MoU) on shipping cooperation was signed in 2015. The agreement highlights topics of common interest, such as international shipping, port cooperation, maritime regulations, education and competency, digitalisation and the green transition. The Norwegian authorities want a close dialogue with Brazil under the agreement, as well as under the bilateral cooperation agreement for climate-friendly shipping from 2025, which aims to establish a decarbonised route between Brazil and Europe (see also Chapter 3).
For decades, Brazil and Norway have had a mutually beneficial dialogue on petroleum management at government level. The management of petroleum resources and revenues will continue to be key topics for further cooperation.
The framework for market access for Norwegian seafood exports to Brazil is a priority in the dialogue with the Brazilian authorities. This applies in particular to sanitary, technical and other trade barriers related to Norway’s existing market access for clipfish, which is our main seafood product to Brazil. Salmon and efforts to establish exports of herring to Brazil are also key.
In order to strengthen the overall bilateral dialogue with Brazil on business and trade policy issues, the Government will initiate regular meetings being held in the established bilateral Economic Commission between Norway and Brazil.
Cooperation on green transition, climate-friendly solutions, technology and research.
Brazil and Norway share challenges related to environmental and climate issues, which are high on the political agenda in both countries. Brazil is increasingly focussing on the green transition and cooperation on climate-friendly solutions, and is looking to Norway and Norwegian companies for solutions and technology in this field. Like Norway, Brazil is well placed to produce renewable energy.
Norwegian companies have expertise and experience that are in demand in Brazil. They have particularly relevant expertise in low-emission technology for oil and gas production, industrial decarbonisation through e.g. increased use of biomethane and natural gas, and in energy efficiency.
The Norwegian Sovereign Guarantee Scheme for Renewable Energy is administered by Norad, while Norfund contributes with risk assessment. The scheme is open to Norwegian companies and aims to mobilise both public and private capital. The purpose is to contribute to development and combat poverty, through access to renewable energy and reduced greenhouse gas emissions and by supporting national agendas for the transition of energy systems to green and renewable energy.
Technology and research cooperation, particularly in the fields of petroleum and energy research, is also very important in the relationship between Brazil and Norway and for Norwegian business and industry, and is discussed in more detail in Chapter 4.
Box 2.1 The energy industries
Brazil is one of the most important markets for Norwegian suppliers in the energy sector. The country has significant potential for increased production of petroleum and renewable energy, and Norwegian companies can contribute sought-after expertise and technology. At the same time, certain energy projects can pose social and environmental challenges that need to be addressed. The Norwegian authorities expect Norwegian companies operating in Brazil to comply with international standards for responsible business conduct.
The Raia project in the Campos Basin in south-east Brazil contains large reserves of natural gas and oil. Production is scheduled to start in 2028 and will then be able to meet up to 15 % of Brazil’s overall gas demand. The project is located in deep waters that require advanced technology for drilling and production. It also includes an innovative offshore gas treatment solution, which will enable the supply of gas directly to the national grid without the need for further onshore processing. The project is expected to help promote technological innovation and emission-reducing solutions.
The Ventos de Santa Eugênia wind power complex in the state of Bahia consists of 14 wind farms and is expected to produce around 2.3 TWh annually – enough to supply 1.17 million Brazilian households. The integration of a solar park is planned for 2025, making this Brazil’s first hybrid energy project.
The Mendubim solar plant in the state of Rio Grande do Norte started commercial operation in 2024. The plant is expected to produce 1.2 TWh of electricity annually, equivalent to the consumption of approximately 600,000 Brazilian households.
Responsible business conduct.
It is important that Norwegian-Brazilian business cooperation and trade contribute to sustainable development in a local, national and global perspective. Norwegian companies operating in Brazil are also expected to comply with internationally recognised standards for responsible business conduct, including the UN Guiding Principles on Business and Human Rights (UNGP) and the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct. Among other things, this means that companies must carry out due diligence, map their impact and work with stakeholders to address social and environmental issues. Companies covered by the Norwegian Transparency Act must also fulfil the requirements for due diligence, reporting and information sharing.
Box 2.2 The Norwegian policy instrument system
Through the Norwegian policy instrument system, the Norwegian authorities offer loan and guarantee schemes, as well as various support programmes for businesses wishing to establish themselves or invest abroad. The most important players are Innovation Norway, Export Finance Norway (Eksfin), the Norwegian Seafood Council (NSC) and Norwegian Energy Partners (NORWEP), all working to promote Norwegian business in prioritised markets. This is done through services such as expertise, advice, financing, marketing and access to networks. The services are provided both by advisors in Norway and locally in prioritised markets abroad.
Innovation Norway is Norway’s official organisation for promoting exports and investments internationally, and by virtue of these roles it aims to contribute to sustainable growth in international markets for Norwegian businesses and attract international investments to Norway.
Eksfin offers loans and guarantees in line with international regulations for export financing. This is primarily done in two ways: either by financing foreign companies’ purchases of Norwegian goods and services, or by financing Norwegian export-oriented investments in Norway or abroad.
The purpose of the NSC is to maximise the export value of Norwegian seafood by increasing demand and knowledge of Norwegian seafood abroad, as well as to contribute to increased demand and knowledge of seafood in Norway. The NSC will also seek to develop new and established markets, as well as promote and safeguard the reputation of Norwegian seafood.
NORWEP is a foundation established by the Norwegian Ministry of Trade, Industry and Fisheries, the Ministry of Energy and the Ministry of Foreign Affairs, together with several energy companies and industry organisations, and it has around 340 corporate partners in all segments of the energy industry. The foundation’s mission is to support the internationalisation of Norwegian technology and solutions for the industry.
Goal 2: The greatest possible total value creation in the Norwegian economy, within a sustainable framework, through increased market access and cooperation with Brazil.
Facilitating increased trade and investment.
Norway will work to finalise a trade agreement between Mercosur and EFTA in line with Norwegian interests. Once it has been signed, the Norwegian authorities will help to ensure that the Norwegian business community is familiar with and utilises the opportunities offered through the agreement. In response to demand from the Norwegian business community, Norway will also strengthen business cooperation in sectors of mutual benefit.
Effective and holistic efforts in the policy instrument system that assists Norwegian businesses in Brazil through Team Norway will continue to be important.
Strengthened government dialogue on business and trade cooperation.
Norway will strengthen the business dialogue with the Brazilian authorities through regular meetings of the Economic Commission between Norway and Brazil; through close dialogue on market access for Norwegian seafood exports; through increased dialogue on petroleum management and common opportunities and challenges within emission reductions, energy transition and climate-friendly solutions; and through regular meetings under the cooperation agreements for shipping.
Green transition and collaboration on climate-friendly solutions.
Norway will promote the green transition and cooperation on climate-friendly solutions by actively assisting Norwegian companies with relevant expertise and technology that is in demand in Brazil.
Responsible business conduct.
The Norwegian government encourages Norwegian-Brazilian business cooperation to follow internationally recognised guidelines such as the OECD Guidelines for Multinational Enterprises on Responsible Business Conduct, the UN Guiding Principles on Business and Human Rights (UNGP) and the principles in the ILO’s core conventions.
