On Friday, Brazil officially joined an agreement, becoming a member of a global group of leading aircraft producers.
This agreement sets global trade standards for civil aircraft. Brazil’s involvement in the Trade in Civil Aircraft (TCA) is now confirmed.
The approval for Brazil’s membership came from a meeting in Geneva, Switzerland. Brazil’s role in the group’s decisions and discussions is now secure.
The group currently consists of 33 economies. Brazil’s full entry into the TCA awaits its National Congress’s approval. A presidential decree is also required.
The TCA aims to remove import tariffs on all civil aircraft and related products. This includes turbines, parts, flight simulators, and maintenance services.
Countries in the TCA agree to keep tariffs at zero. This improves access to materials and aviation trade chains.
Geraldo Alckmin, Vice President and Minister at MDIC, spoke about Brazil’s accession. He said it was a longstanding goal.
The government has been actively pursuing this. “Brazil’s aeronautical industry ranks among the world’s best.
Joining this mechanism is crucial for influencing global industry trends,” he noted.
The TCA was established in 1980 and is linked to the World Trade Organization (WTO).
Before joining, Brazil was the only major aircraft producer and original WTO member outside the agreement.
This was notable since Brazil’s main competitors, including Canada, the EU, and the USA, are members.
Background
Brazil’s entry into this elite group marks a significant stride in its aeronautical sector. It places Brazil on par with the world’s leading aircraft-producing nations.
This move enhances Brazil’s competitiveness in the global aviation market. It also reflects Brazil’s growing influence in international trade and industry.
The country’s aviation industry has a rich history of innovation and quality. Joining the TCA aligns with Brazil’s trajectory as a key player in aerospace.
It opens doors for Brazilian companies to expand their global footprint. This step is a milestone in Brazil’s journey to being a top global aviation influencer.