1. BRAZIL FOREIGN POLICY DURING THE TRANSITION (1985- 1994)

2. Itamarati Palace – Brasilia (Ministry of Foreign Affairs)  Short-lived triumph of Trancredo Neves ◦ Split between Northeast traditionalists and business community of São Paulo ◦ Neves respected opposition politician ◦ Following the death of Neves military fearful of domestic insurgency 

3. President of Brazil (1985-1989)  a second accidental presidency ◦ Led ARENA political party in the senate during military regime ◦ Broke with military party when he was not selected as its candidate for president ◦ “Political Godfather” of the Northeast

4.  Transitory economic recovery  Economic downturn 1986-87  Writing a new constitution (1987-88) ◦ Constitutional convention dominated by traditional political class ◦ Two rounds of voting for president if no candidate has first round majority ◦ Senate & Chamber of deputies favors traditional areas of the country

5.  Latin America ◦ Contadora Support Group participation ◦ Resumption of relations with Cuba ◦ Brazil – Argentina Common Market Agreement (1988)  Foreign Debt (come into line with IMF) ◦ Debt rescheduling ◦ New loans  Dispute over Pharmaceutical Patents  Information Technology Dispute  Brazil & GATT (now WTO) ◦ Liberalized trade rebulations

6.  New economic conditions made Vargas era “Autonomy through Distance” policy impossible  Conflictive elements in Brazilian foreign policy lead to search for better relations with Latin American neighbors  International pressure forced Brazil to modify its foreign and domestic economic to deal with economic crisis

7.  Patterned on U.S. Constitution’s separation of powers  President elected directly by people  Bicameral Congress ◦ Chamber of Deputies (513 members) ◦ Senate:Three members from each state and the Federal District (81 members)  Supreme Court (power of judicial review)

8.  Ministry of Foreign Relations responsible for handling foreign relations of Brazilian state ◦ Known as Itamaraty ◦ Itamaraty's scope includes: political, commercial, economic, financial, cultural and consular relations ◦ In above areas it performs the classical tasks of diplomacy: represent, inform and negotiate  Based on Article 4 of the Constitution  President has ultimate authority over foreign affairs

9.  Fragmented left coalesces ◦ Brizola’s geographically constrained base ◦ Lula and the PT make strides toward creating a truly national political party  The Right hangs on ◦ GLOBO & Fernando Collor ◦ Regional leaders in control of congress

10.  Fernando Collor (53%)  Luis Ignacio “LULA” de Silva (47%)

11. Color (highly personal) Franco (Itamaraty regains dominance)  Begins by developing close ties with Washington  Some foreign policy disagreements surface  Preserve good relations with USA  Deepen relations with other countries  USA no longer main focus of foreign policy

12. Color Franco (Celso Amorin – Foreign Minister)  Mercosur ◦ 1991 ◦ Treaty of Asuncion  Emphasis on economic benefits of Mercosur/Mercosul  Process of regional integration continued  Mercosur seeen as tool to counter USA “Free Trade for the Americas”  Ouro Preto Protocol converts Mercosur from free trade area to customs

13. Color Franco (Celso Amorin – Foreign Minister)  Improve relations with USA  Brazil renounces military-industrial ambitions as set out during military dictatorship  Maintains commitments made by Collor  Interest in recognition as great power resurfaces ◦ Push for permanent seat on Security Council of U.N.

14. Color Franco (Celso Amorin – Foreign Minister)  At GATT -adopts less defensive stance on new economic issues ◦ Intellectual property ◦ Services ◦ Investments Improve relations with USA  GATT policy of Color maintained  Pushes for a more free policy on agricultural commodities

15.  Itamar Franco as a caretaker president ◦ Another accidental presidency ◦ Fernando Henrique Cardoso as architect of economic recovery {Real Plan}  Resounding victory over Lula ◦ Cardoso 54% ◦ Luis Inacio “Lula” de Silva 27%