President Claudia Sheinbaum hosted Brazilian Vice President Geraldo Alckmin and a 150-strong business delegation in Mexico City for two days of meetings aimed at tightening bilateral links between Latin America’s two largest economies. While the leaders agreed to broaden cooperation in economic, scientific and environmental fields, Sheinbaum reiterated that Mexico is “not considering” a full free-trade agreement with Brazil. Instead, the governments signed memorandums of understanding covering biocombustibles, industrial competitiveness, and joint production of vaccines and active pharmaceutical ingredients. Health regulators Cofepris and Anvisa agreed to mutual recognition of regulatory procedures to speed drug approvals, and state-owned Birmex will collaborate with Brazil’s Fiocruz on vaccine manufacturing. Economy Minister Marcelo Ebrard said the countries will focus on updating the long-standing ACE-53 and ACE-55 complementarity pacts, with negotiations to conclude by June 2026 and a revised agreement targeted for signature in August 2026. Brazil is also seeking wider access for its exports to Mexico as both nations navigate higher U.S. tariffs on regional goods. Merchandise trade between Mexico and Brazil reached US$13.6 billion last year, with Brazilian exports accounting for US$7.8 billion. Officials on both sides said the new accords should accelerate investment, particularly in pharmaceuticals, agriculture and offshore energy, while providing an alternative path to deeper integration without a formal free-trade treaty.