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FOREIGN POLICY DURING THE CARDOSO Administration
(1995-2003)

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Fernando Henrique Cardoso

• Son of a Army general from Rio de Janeiro
• Academic
• Political economist
• Graduate work in USA
• Founder of Brazilian Social Democratic leaders
• Reputation gained by taming inflation during
  administration of President Itamar Franco

• President of Brazil (1995-2003)

• Biographical Highlights

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Change with Continuity Basic Theme of Cardoso
Foreign Policy

• Military power downplayed
• Military balance seen as less important
• Emphasis on economic power

• Emphasis on soft power
• Brazilian sift power used to reshape
  international environment with regimesmore
  favorable to Brazilian interests

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Autonomy through Participation

• 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

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Refurbishing the National Image

• Rebuild international credibility on the basis of
  internal stability
• Trustworthiness facilitates some foreign
  investment
• International good will toward Brazil increases
• Tony Blair
• Bill Clinton
• Residual negative feelings toward Brazil persist
  
• Low rate of economic growth limits limits
  possibility of using foreign policy to gain
  strategic advantage

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Cardos Relations with the USA

• 1997 Brazil signs Nuclear non-proliferation
  Treaty
• Put off FTTA for as long as possible
• Relations grew more rocky toward end of Cardosos
  second term

• Explicit acknowledgement of the central
  position of USA in world order
• Limits special relationship

• 1997 Clinton visits Latin America
• 2001 - Cardoso at White House

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MERCOSUR South America

• Mercosur/Mercosul's flag in the city of Brasília,
  Brazil

• Cooperation with Argentinas Carlos Menem
• Mercosul consolidated as a customs union
• Joint adherence with Argentina into NNPT
• Defense of democracy
• Movement to transform Mercosul into a common
  market (Oro Preto Protocol 1994)

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Cardoso WTO (membership 153 countries)
established 1995

• Signed Marrakesh Protocol created WTO
• Priority given to multilateral organizations
• Assistance provided for Brazilian business
• Subsidies to Bombardier by Canadian gvt.
• Pressure on U.S. pharmaceudicals to break patents
  on NIV/Aids drugs

• Functions Administering WTO trade
  agreements Forum for trade negotiations Handli
  ng trade disputes Monitoring national trade
  policies Technical assistance and training for
  developing countries Cooperation with other
  international organizations 

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Cardoso the Beginning of BRIC

• Charles Tang, Chairman of the Brazil-China
  Chamber of Industry Commerce

• Cardoso Putin
• Trade increases but remains small

• Cardoso visits China twice
• In 2002 China becomes 2 trading partner with
  Brazil

• Trade between Brazil India hardly increases

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Other Strategic Partners

• Portugal
• Purchase of privatized state companies
• Increased Brazilian presence in Portuguese
  speaking Africa
• Peace keeping mission to Angola
• Cuba
• Relations stable
• Cardoso constant critic of U.S. economic embargo

• Japan
• Important trading partner
• Did not participate in purchase of privatized
  Brazilian companies
• Ties strengthened with Japanese-Brazilian
  community

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January 1, 2003 Democratic transition from from
Fernando Henrique Cardoso to Luiz Inácio Lula da
Silva