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Analysis: Brazil and U.S., Like Star-Crossed Lovers, Foiled Again

By Brian Winter

AS/COA’s Christopher Sabatini points out that “Brazil looked petulant” after President Dilma Rousseff’s decision to postpone her October 23 state visit at the White House.

Every time Brazil and the United States get to the altar, the roof of the church seems to collapse.

In 1982, U.S. President Ronald Reagan traveled to Brazil for a dinner banquet meant to herald a new era in ties between the Americas' two biggest countries. But when Reagan raised his wine glass and toasted "the people of Bolivia," it seemed to confirm his hosts' worst fears: that the United States saw Brazil as just another poor country in its so-called backyard.

This week, hopes for a breakthrough fell apart once again, in even more dramatic fashion.

President Dilma Rousseff's decision to call off her upcoming state visit to the White House, the only formal event of its kind planned in Washington this year, is an embarrassing setback that will probably stymie cooperation on trade, regional affairs and other issues for years to come.

Rousseff, a pragmatic leftist, was outraged over recent revelations that the U.S. National Security Agency spied on her private communications, as well as her top aides.

While the two countries will retain generally cordial ties, Rousseff plans to take some retaliatory measures, including onerous new taxes and rules for U.S. Internet companies operating in Brazil, and ruling out a purchase of fighter jets from Chicago-based Boeing Co., officials told Reuters....

THE FALLOUT

The last-minute push raised the stakes even more, and helps explain why the bad blood could linger for a while.

In the short-term, there will be consequences for both sides.

Rousseff has pushed new legislation that seeks to force Google Inc, Microsoft Corp and other foreign Internet companies to store locally gathered data on servers in Brazil. The bill is designed to improve Internet security and also retaliate for U.S. spying, Brazilian officials have said.

Rousseff is likely to become an even more vocal opponent of U.S. espionage, including at this month's meeting of the United Nations, officials say.

Meanwhile, Rousseff's handling of the episode has solidified impressions that she is unable to insert Brazil more fully into the world both economically and strategically. That's an impression that could linger among foreign companies looking to invest in Brazil, as well as other governments.

"Brazil looked petulant," said Christopher Sabatini, editor of Americas Quarterly magazine. "That's not how major powers are supposed to act...."

Read the full article here.

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