During the official meeting between President Luiz Inácio Lula da Silva and Chinese President Xi Jinping, Brazil’s Minister of Agriculture and Livestock, Carlos Fávaro, signed new bilateral agreements aimed at advancing Brazilian agribusiness. The agreements secured new authorizations that enable Brazil to export, among others, corn ethanol byproducts (DDG and DDGS) to China.
“Under President Lula’s leadership, Brazil has achieved a historic milestone — the largest single round of market openings with China. This reflects the deep mutual trust and strong bilateral relationship we have built,” said Minister Fávaro.
“These five new market authorizations come in addition to the recent opening for fish products in late April. Together, they represent an estimated potential of around USD 20 billion. This outcome is the result of close collaboration among teams from MAPA, the Ministry of Foreign Affairs, and the Brazilian Embassy in China,” said MAPA’s Secretary for Trade and International Relations, Luis Rua.
According to Brazil’s National Corn Ethanol Union (UNEM), in the past two years, Brazil has achieved significant numbers in DDG/DDGS exports. In 2023, the country exported $180.27 million to Vietnam, New Zealand, Spain, Egypt and Turkey as its main markets and $190.65 million in 2024 to Vietnam, Turkey, New Zealand, Spain and Thailand.
According to Chinese customs data, in 2024, China imported more than USD 66 million in DDG and DDGS with the US as nearly the sole supplier.
Chinese companies also announced BRL 27 billion (USD 4.76 billion) in new investments in Brazil, covering sectors such as renewable energy, technology, mining, health and logistics. This movement reinforces China’s interest in strategic partnerships with Brazil and indirectly favors the bioenergy agenda and high-performance zootechnical plant ingredients.
“We are facing a new stage of institutional positioning of corn ethanol and its co-products in the world. The construction of this relationship with China strengthens our international presence and signals confidence in the quality of Brazilian production,” said Guilherme Nolasco, executive president of the National Union of Corn Ethanol (UNEM).
According to Nolasco, over 10 new plants are under construction and set to begin production within the next two to three years for corn ethanol and DDG, coinciding with the opening of the Chinese market. Nolasco expects DDG production in Brazil to potentially reach up to 5 million tons in 2025/26.
“This is a historic moment for the corn ethanol sector — a market opening achieved in record time. It demonstrates how coordinated efforts between the private sector and the government can deliver swift, meaningful results that drive investment and contribute to global food security,” Nolasco said.
With these latest openings, Brazil’s agribusiness sector has reached its 62nd new market access in 2025, totaling 362 new trade opportunities since the beginning of 2023.
