(Adds Vale and Bank of China deal; detail on Embraer)
BRASILIA, July 17 Brazilian aircraft maker
Embraer agreed to sell up to 60 commercial passenger
jets to China and mining company Vale received two
new credit lines from Beijing, as the presidents of the two
countries signed agreements to deepen commercial ties.
The Brazilian government announced the deals on Thursday
after a meeting between presidents Xi Jinping and Dilma Rousseff
in Brasilia, the capital. Leaders of major emerging countries
have been in Brazil attending a summit of the so-called BRICS
countries - Brazil, Russia, India, China and South Africa.
Under one accord, Embraer, the world's largest maker of
regional jets, will sell 40 of its E-190 planes to China's
Tianjin Airlines, half of which will be the
re-engined model known as E-190 E2, set to enter service in
The Industrial and Commercial Bank of China Ltd
will buy up to 20 aircraft, with 10 firm orders and an option to
buy 10 more, following an agreement in 2012 to provide leasing
for Embraer planes.
Meanwhile, China's Eximbank extended a $5 billion credit
line to Vale to buy or lease ships and shipping equipment from
Chinese companies. There was, however, no mention of a solution
to an impasse over China's refusal to allow giant, bulk iron-ore
carriers used by Vale to dock at Chinese ports.
Vale, which ships the vast majority of its production to
China, said in a statement that it also received a $2.5 billion
line of credit from the Bank of China to buy Chinese
equipment and services.
The two trading partners also agreed to join forces to
develop railway projects that will help Brazil better transport
its commodities to China.
China's Construction Bank also formalized the acquisition of
72 percent of Brazilian mid-size lender Banco Industrial e
Comercial SA or BicBanco, a deal worth 1.62 billion reais ($726
million) when announced in October.
(Reporting by Alonso Soto; Writing by Brad Haynes and Stephen
Eisenhammer; Editing by Jeffrey Benkoe, W Simon and Steve