German Chancellor Olaf Scholz is set to travel to Brazil on Monday to meet new President Luiz Inácio Lula da Silva.

Brasília is the chancellor’s final stop in a four-day South America trip that also included visits to Chile and Argentina.

Mr Scholz is accompanied by a business delegation including about a dozen managers and association representatives.

During his visit, Scholz wants to give new impetus to the free trade agreement between the European Union and the South American confederation Mercosur, which besides Brazil, also includes Argentina, Uruguay and Paraguay.

Climate action and rainforest protection will also be on the agenda.

The EU has been negotiating a trade agreement with the Mercosur states since 1999.

While an agreement in principle was achieved in 2019, some questions remain, especially regarding the protection of the Amazon rainforest, wide swathes of which have been cleared for cattle breeding and agriculture.

German President Frank-Walter Steinmeier travelled to Brazil for Lula’s inaugural ceremony on January 1.

Mr Lula’s far-right predecessor Jair Bolsonaro had largely isolated the country internationally.

Left-wing politician Mr Lula was not known for his green policies in his first two terms in office between 2003 and 2010 but has now promised to prioritise environmental and climate protection.

At a joint meeting with German Development Minister Svenja Schulze in Brasília, they discussed frozen German money for the Amazon Fund.

During his visit, Mr Steinmeier had held out the prospect of €35 million ($38 million) for this purpose.

(dpa/NAN)