Brazil's Grand Gesture To India: Modi & Lula Set To Take Ties To New Level In Signal To China
From shared global goals, defence collaboration, biofuel cooperation to counterbalance to China, India & Brazil are on a trajectory that reflects the emerging voice of Global South
As Prime Minister Narendra Modi gears up for a state dinner hosted by Brazilian President Luiz Inácio Lula da Silva, the significance of the moment goes far beyond ceremonial grandeur.
This dinner, alongside the BRICS summit in Brazil, is beyond just a diplomatic courtesy and should rather be seen as a carefully calibrated geopolitical signal.
Brazil's Message
According to diplomatic reports, the invitation to PM Modi may have even prompted Chinese President Xi Jinping to skip the summit for the first time, wary of appearing sidelined as India takes centre-stage in Latin America, especially in light of PM Modi's other visits to Argentina, and Trinidad and Tobago. The red carpet will be laid out for PM Modi, and Xi's presence would have risked looking like a 'supporting actor".
Despite Brazil's insistence, Xi will be skipping the summit, a first in 12 years. But Brazil didn't flinch. Despite China's snub, President Lula went ahead with his invitation, standing firmly by his decision to host Modi for the state dinner. This is an indicator of the growing momentum behind India-Brazil ties, and the emerging architecture of South-South cooperation.
Together, the two countries will be sending a loud message to China. Each photo op, each meeting, each toast raised during the state dinner carries symbolic weight.
Brazil's refusal to recalibrate its plans in the face of Chinese displeasure signals two things: One, that India's influence in Latin America is rising. And two, that Brazil sees long-term value in strengthening its partnership with India—even if it ruffles feathers in Beijing.
Modi and Lula: Building a Personal Equation
The Modi-Lula dynamic has played a crucial role in this diplomatic moment. Since 2023, the two leaders have met four times, cementing a working relationship rooted in mutual respect and aligned global goals. During the G20 Summit in 2024, Lula told Modi that many aspects of Brazil's G20 presidency had been inspired by India's successful hosting the previous year. The remark was an honest acknowledgement of India's rising stature as a global agenda-setter and that Brazil, a prominent voice in Latin America, welcomes this phenomenon.
Lula has also expressed solidarity with India on national security concerns. After the heinous terror attack in Pahalgam on April 22, Lula reached out to PM Modi to express support in the fight against terrorism—a rare gesture of strategic alignment from a South American power.
From Strangers to Friends
Of course, India-Brazil ties haven't always been smooth. In 1961, Brazil sided with Portugal during India's liberation of Goa. In 2009, it sold anti-radiation missiles to Pakistan despite Indian protests. But such incidents are now distant echoes in an otherwise growing and maturing relationship.
India-Brazil ties strengthened after Jair Bolsonaro became Brazil's President in 2018, as both countries shared scepticism toward China, especially its Belt and Road Initiative. Then came a pivotal moment. Bolsonaro visited India as the Republic Day chief guest in January 2020. Ahead of the visit, Brazil backed India on the Citizenship Amendment Act and the revocation of Jammu and Kashmir's special status, calling them internal matters.
Strategic Synergy in Defence
Defence ties are ripe with promise and will be a major highlight of discussions between the two leaders. Brazil has shown keen interest in Indian-made defence platforms such as the Akash air defence system, which gained recognition after its deployment during Operation Sindoor when India repelled a coordinated drone and missile attack from Pakistan.
India is also in discussions with Brazil over possible deals involving Garuda artillery guns, coastal surveillance systems, secure battlefield communications, offshore patrol vessels, and support for Scorpene-class submarine maintenance. Brazilian delegations have explored cooperation on BrahMos supersonic missiles and Akash air defence systems, showing how global instability is driving the demand for reliable, battle-tested defence solutions.
This defence partnership has mutual benefits in order. On the aerospace front, Brazilian aircraft manufacturer Embraer and India's Mahindra Defence have already signed an MoU to collaborate on the C-390 Millennium transport aircraft. Brazil is eyeing co-production and potential co-export opportunities with India, a move that could bolster both countries' defence manufacturing goals.
As defence turns into a key element, the larger economic relationship is worth a review, as there is not just promising potential but progress underway. India and Brazil have developed a robust trade relationship, with bilateral trade reportedly surpassing $15 billion, weighted mildly in India's favour. Key Indian exports include petroleum products, pharmaceuticals, fertilisers, and engineering goods, while Brazil supplies crude oil and agricultural products such as sugar and soybeans.
Despite the strong base, both sides acknowledge there's more potential to be tapped—especially in services, energy, and biofuels. As two of the world's leading producers of biofuels, India and Brazil are working closely under initiatives such as the Global Biofuel Alliance, launched during India's G20 presidency and supported by Brazil.
Brazil's significance to India also lies in its natural resource wealth. As a critical supplier of crude oil, rare earths, and other minerals, with substantial production capacity, Brazil becomes an important partner for India.
Moreover, Indian companies have a growing presence in Brazil, with total investment crossing $6 billion. Major players like Tata Motors, Glenmark, and Zydus Cadila operate in the country, catering to Brazil's large and diverse consumer market. In contrast, Brazilian investments in India are around $1 billion, with opportunities now opening up in sectors like defence, aviation, and green energy.
Given Brazil's status as the seventh-largest economy (nominal GDP: $2.12 trillion) with a population of over 212 million, it's an attractive destination for Indian firms seeking Latin American expansion.
Multilateral Alignment: G4, G20, BRICS, and Beyond
India and Brazil are partners in several key multilateral platforms—G20, BRICS, WTO, and notably, the G4 grouping that includes Japan and Germany. Together, they advocate for UN Security Council reform and support each other's bid for a permanent seat, reflecting their aspirations for a more equitable global governance framework.
Their shared commitment to multilateralism, climate responsibility, and democratised technology access sets them apart from bloc-based power politics that often stifle global consensus. This makes their partnership globally relevant.
From shared global goals and defence collaboration to biofuel cooperation and strategic counterbalance to China, India and Brazil are on a trajectory that reflects ambition, mutual benefit and the emerging voice of the Global South.
About the Author
Shubhangi Sharma
Shubhangi Sharma is News Editor - Special Projects at News18. She covers foreign affairs and geopolitics, and also keeps a close watch on the national pulse of India.
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Brazil BRICS Summit China prime minister narendra modi
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First Published:
July 05, 2025, 11:28 IST
News opinion Brazil's Grand Gesture To India: Modi & Lula Set To Take Ties To New Level In Signal To China
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