This chapter discusses the phenomenon of outward foreign direct investment (FDI) from Brazil. Brazil has presented a comparatively low level of outward FDI compared to the overall size of its economy. The rapid rise of Brazilian outward FDI may be due to competitive pressures in home markets and the expansion and diversification of sales, markets, and production bases abroad. Brazil's outward international investment activities are mostly associated to exporting strategies, dominated by fixed assets from Brazilian headquarters. Outward FDI in services from Brazil should deepen in the future as the local market becomes deficient in maintaining high profit levels for Brazilian firms. Brazil's bilateral investment treaties (BITs) contain provisions to promote FDI. The growth of FDI from Brazil seems to be largely the result of external opportunities rather than a planned international business strategy of either the state or the firms themselves.
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