[Manbo Jeongdam] "UN Reform Closely Linked to Climate and Poverty Issues... Korea's Support Needed"

"I do not set goals." This was the answer given by Marcia Donner Abreu, the Brazilian Ambassador to Korea, in an interview with Asia Economy on the 8th when asked if she had any vision she wanted to achieve during her term. It highlights the fluidity of a diplomat's work. Since graduating from the Brazilian Diplomatic Academy in 1987, she has built a career in the fields of environment, sustainable development, and trade negotiations, but the ambassador's duties are not confined to one area. Ambassador Abreu emphasized, "One day I attend a startup meeting, another day I go to the medical industry, and another day to the sports field. Sometimes I meet with ministers, and other times I have to urgently welcome foreign guests. Diplomats cannot be bound by pre-set goals." It made me realize that diplomacy is a more hands-on profession than I had thought.

Despite the nearly two-hour interview late in the afternoon, Ambassador Abreu's eyes were full of energy. The secret to her stamina was exercise. She explained, "I am a very active person. I like hiking, and when my family visits Korea, we sometimes go skiing in Yangpyeong." Walking her dog is also an indispensable part of her routine. She said, "I often enjoy walks with my dog Nika in Samcheong Park or on Samcheong-ro behind the embassy." Nika is a rescue dog adopted last year from the Seoul Animal Welfare Support Center.

Marcia Doner Abreu, Ambassador of Brazil to Korea, is walking near the Embassy of Brazil in Jongno-gu, Seoul on the 8th. Photo by Jinhyung Kang aymsdream@

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Brazil is a country with remarkable economic power. It has a population of over 200 million and ranked 9th in the world last year by nominal GDP. It is known for its abundant underground resources such as iron, nickel, and copper, and is also the world's largest producer of sugarcane. Notably, Brazil was the first Latin American country to establish diplomatic relations with Korea, marking the 65th anniversary of their diplomatic ties this year. Ambassador Abreu praised, "We have received many benefits from the approximately 50,000-strong Korean community in Brazil," and added, "The trade volume between the two countries has doubled over the past five years."

However, she also expressed some regrets. Despite the long history of diplomatic relations with Korea, a powerhouse in foundry (semiconductor contract manufacturing), Brazil has almost no semiconductor production bases. Currently, the only Korean company with a semiconductor factory in Brazil is HT Micron, a subsidiary of Hana Micron. Discussions about Samsung Electronics building a semiconductor plant in Brazil are relatively recent. Particularly, memory semiconductors, which are Brazil's main production focus, only meet 8% of local demand, resulting in high import dependence. Ambassador Abreu stated, "Still, over 120 Korean companies, including Samsung Electronics, LG Electronics, POSCO, and CJ CheilJedang, have entered Brazil," expressing particular expectations for expanded investment in the pharmaceutical and bio sectors. The Brazilian pharmaceutical market is estimated to be about $22.5 billion (27 trillion KRW).

Ambassador Abreu also spoke candidly about sensitive diplomatic issues. Her main focus is on 'sustainable development.' She said, "Climate change, poverty eradication, and governance reform are all prerequisites for sustainable development that the international community must address," and added, "At the upcoming G20 summit, we plan to actively discuss UN Security Council reform and the introduction of a global wealth tax." Brazil is the chair country of the G20 summit to be held next month. I asked Ambassador Abreu in depth about Brazil's vision for sustainable development.

Marcia Doner Abreu, Ambassador of Brazil to Korea, is being interviewed on the 8th at the Embassy of Brazil in Jongno-gu, Seoul. Photo by Jinhyung Kang aymsdream@

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Below is a Q&A with Ambassador Abreu.

-Among the many challenges facing the international community, climate issues seem to be a top priority. As a country witnessing the changes in the Amazon rainforest, known as the 'lungs of the Earth,' Brazil must have much to say about climate issues.

▲Climate issues are closely linked to economic inequality and international governance. The 17 Sustainable Development Goals (SDGs) that the UN and the international community aim to achieve by 2030 include climate action, poverty eradication, and social structural reform. These are prioritized in national projects of G20 member countries, including Brazil and Korea. Brazil has long advocated 'poverty eradication for environmental conservation' since the 1972 UN Conference on the Human Environment (UNCHE) held in Stockholm, Sweden. This is because it understood that poor countries tend to destroy the environment, such as deforestation, for economic development. After much effort, we led the 'Rio Declaration' in 1992, 20 years later, which included basic principles such as financial support and technology transfer for developing countries to protect the global environment. I was working at the embassy in the US at the time and contributed to the preparation of the Rio conference. Just as Brazil strives to prevent the destruction of the Amazon rainforest, each country should contribute in its own way.

-Brazil will host the G20 summit in Rio this November. What goals do you have as the G20 chair country?

▲We plan to raise our voice on poverty eradication for sustainable development, climate change response, and international governance reform. Recently, we requested the Korean Ministry of Foreign Affairs to support Brazil on these issues at the G20 summit. Governance reform of international organizations like the UN is urgent. The UN was established at the end of World War II, about 80 years ago, and has not reflected the changed international environment. There is not a single permanent Security Council seat for Latin American or African countries. Despite many challenges such as poverty, inequality, and sustainable development, reforms are repeatedly blocked by the Security Council veto power. Now is the time to readjust the outdated Security Council system to reflect regional representation and financial contributions. Adjustments to the voting rights (shares) of the IMF and World Bank, reflecting the latest economic sizes of countries, are also necessary. This is the first step to ensure that voices from every corner of the globe are reflected in international organization issues.

(Brazil advocates for additional permanent Security Council seats for itself and countries like India, Germany, and Japan, which differs from Korea's position. Korea, along with Italy, Spain, Canada, and Mexico, acknowledges the need for UN reform but opposes simply increasing the number of permanent seats, arguing that it would undermine the Security Council's sustainability and representation. Instead, they advocate increasing the number of non-permanent seats elected by regular elections.)

-The introduction of a global wealth tax also seems to be a key topic at the G20.

▲Brazil strongly supports the introduction of a 2% wealth tax on global billionaires. This targets the approximately 3,000 super-rich individuals worldwide with assets exceeding $1 billion (about 1.35 trillion KRW). Although US Treasury Secretary Janet Yellen has expressed opposition, since Brazil is the chair country of this G20 summit, the issue is expected to be discussed again. In July, G20 finance ministers also agreed to cooperate on this matter. Paying taxes is a citizen's duty. Ordinary people pay taxes without exception, but we cannot allow the wealthy to escape to tax havens. Without taxes, there are no policies or armies. When I worked in Geneva, I witnessed large Swiss banks caught hiding money for super-rich clients. Just as my family and I are thoroughly audited down to the last cent by tax authorities, I believe they should also be included in a system where asset movements are transparently and automatically recorded.

-Brazil is a country genuinely committed to eco-friendly industries, with 80% of its power generated from renewable energy. What next-generation eco-friendly technologies or industries is Brazil currently focusing on?

▲Green hydrogen and ethanol. Brazil has the environment to produce hydrogen without carbon emissions. It has vast land for installing solar panels and rivers and dams that can utilize water drop heights. Also, Brazil's vast Atlantic coast in the east is optimally located for offshore wind power generation. Ethanol is our next-generation growth engine. Brazil, with the world's largest sugarcane and corn fields, extracts bioethanol from these crops as an alternative fuel. Currently, the law mandates that bioethanol be mixed up to 27% in gasoline for vehicles. Our obsession with ethanol dates back to the second oil shock. I was in Paris with my parents then, and everything was dark. Oil was so expensive that the city could not be lit. Brazil had to create alternative fuels to get cars moving, and ethanol was developed for that purpose. India and Indonesia are also gradually adopting ethanol-blended fuels. Green hydrogen and ethanol are areas of great interest and development in Korea as well. Recently, Chung Eui-sun, Chairman of Hyundai Motor Group, visited Brazil and met with President Luiz In?cio Lula da Silva, promising to invest $1.1 billion (1.46 trillion KRW) by 2032 in future eco-friendly technologies such as hydrogen.

-Despite Brazil's solid domestic market, not many Korean companies have entered the local market. What do you think is the reason? What should the two countries support and cooperate on to expand investment in the future?

▲In my opinion, Korean companies seem to consider two criteria when deciding on overseas investment: whether the country is a strong power with access to advanced technology and resources, and whether it has a large domestic market. Brazil has a solid domestic market but may not have given Korean companies confidence in the first criterion. Since foreign investment decisions are in the private sector's domain, the government's role is limited, but investment is expected to increase. In November last year, then Minister of Trade, Industry and Energy Ahn Duk-geun signed the 'Korea-Brazil Trade and Investment Promotion Framework (TIPF)' with Marcio Elias Rosa, Brazil's Deputy Minister of Development, Industry, Trade and Services. TIPF is a cooperation body that promotes mutual economic cooperation and covers new trade issues such as green, digital, and bio sectors. Among South American countries, Brazil was the first to sign such an agreement with Korea. We sell raw materials to Korea, and Korea exports semiconductors to us. Cooperation in the biosimilar field is expected to expand. Brazil is the world's largest customer of Samsung Bioepis. In addition, pharmaceutical companies such as Celltrion Healthcare and GC Green Cross have also entered Brazil.

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