A Lusophone World

[Lusitania]

Seems like Boeing won't be benefiting from the Portuguese development, not that it matters much at this point as far as they're concerned. But maybe South America will look to Bristol, or would it be Bristol-Lusitania, more closely when outfitting their Air Service?

No Boeing and MacDonald Douglas the two main plane manufacturers were frozen out of the Portuguese market, which become a major transportation market due to its geography. The Portuguese had no intention of owning a aircraft manufacturing company when they signed up to be partners with BOC to fund the development of passenger aircraft. They simply needed an aircraft due to their geography, and due to political interference by American government were not guaranteed delivery of sufficient aircraft by the two American companies. Therefore they turned instead to the British who were happy to take their money. It meant that the Bristol plane was developed at almost half the cost to the British and the company also received additional resources dedicated to its development as additional Portuguese engineers and personnel were assigned to the project and relocated to Britain. The arrival of several hundred Portuguese created some animosity or confusion at Bristol plants in Britain, but due to Portuguese demand, the company benefited and also increased the number of British workers therefore a huge win for Britain and loss for USA.

When the Portuguese became Bristol’s main backer and customer Sir George White the chairman of the company made the decision that the company’s future lay with the Federation and while there was some opposition to his decision to setup a manufacturing plant in Portuguese Federation he was able to sway the board to back his plan due to the size of Portuguese order and how important the Portuguese were becoming to the longevity of the company. The Subsequent decision of the British government to cancel its commitment to the series 200 jet plane could of been the end of the company but instead made Sir White decision even more important and by the time Bristol was forced to merge with other British aircraft manufacturers in an attempt to compete with the American dominance of the industry the Bristol-Lusitania division was twice as large as the parent division in Britain and source of the majority of its income and profit.

The 1950s was a very interesting time for British aircraft industry with several small but proud and brilliant companies trying to carve out a space for themselves while the Americans slowly came to dominate the industry with their size and production. Of course very few people paid any attention to the Portuguese as they also became a player in the aircraft industry. So at the end of the 1950s we have a country who against all odds and almost quite by accident had become a major military and civilian aircraft manufacturer and who was set to continue on its own course and be independent of American interference.

As for your musing about market for the Bristol-Lusitania planes, yes you are correct to think that both South America, Asia and even Africa would become major markets for its planes. While Political interference did come into play in the purchase of its planes directly from the federation, the quality and reputation of the planes meant that there was a large market for used planes even from countries politically opposed to the federation. This allowed for airlines in countries politically aligned or friendly to the Federation (mostly in South America and Ásia/India) to upgrade their fleets to latest models and sell their used planes to a variety of airlines even in countries hostile to the federation. this was a huge benefit to Bristol-Lusitania in the federation who continued to sell new planes but also in selling parts for the used planes. More on that in the 1960s onward.

With Federation Rail Service Going though different nations in Africa Almost guarantees easy access to offshoring/Outsourcing as wages start raising at home.

Some of the railway maps especially of eastern and Western Africa that also include rail crossing foreign counties can be a little confusing since it shows the growth of the Portuguese rail industry over 2 decades. Some of these rail lines will only be possible after some "regime changes" but unfortunately that only occurred in the 1960s. In the 1950s there were two countries not shown in the maps whose rail network also witnessed a transformation similar to the Federation and just as importantly was connected to the Federation: Galicia and Guinea Boke. Both countries did benefit from offshoring as some secondary portuguese manufacturing was transferred to these countries, Prior to the creation of the Lusitania Commonwealth each country had to sign separate agreements with the Federation and construction of "offshore" manufacturing was limited. But some did occur especially in the garment industry where Portuguese wages were making some clothing expensive to manufacture in the federation. Each of the two countries had their own challenges to resolve in order for them to develop in strong manufacturing countries. At the beginning Guinea Boke suffered from lack of infrastructure as well as a largely illiterate population. Its economic activity during the 1960s was almost entirely devoted infrastructure and mining. As people migrated to the towns and cities that put additional demands on basic infrastructure. Education and health deficiencies challenged the government who with Portuguese assistance was also busy combating major outbreaks of health issues.

Adding to the situation was that on any given day anywhere between 1/3 and 1/4 of both Guinea Boke and Galicia best and brightest were working in the Federation. They were drawn to the better life and jobs in the Federation. The high percentage of both Guineans and Galicians working in the Federation would also limit the number of people available to work in factories. One major government investment in both countries was mechanization of agriculture and the consolidation of farms into more efficient and larger farms thus freeing additional workers for these industries. Another major impact in the success of these countries effort was the amount of Portuguese currency that was being used in place of local currency for everything from trade to wages. (more on that in subsequent posts).

It is important to note that the two countries with the greatest amount of manufacturing for the Federation were not even connected by land to the Federation They were the two island nations (Lombok and Bali) Who since the late 1940s been economically linked to the Federation and both islands had many small and large manufacturing factories either directly owned by the Portuguese companies or locally owned and contracted by Portuguese companies to manufacture goods for the Federation. These two countries had much higher standard of living and GDP that surrounding countries making them both attractive to poor emigrants from both Indonesia and East Indonesia. This resulted in both countries as well as portuense East Indies provinces having to deal with illegal emigrants seeking better life. Several detention camps on the islands were almost all ways full and forced repatriation were ongoing issues for them as well as the Far East Portuguese Federation provinces. The high standards of living was something people from both Federation and two allied countries took great pride in and demanded their governments to guard against illegal immigrants.

One final note, the transfer of Portuguese low paying manufacturing jobs to countries adjacent to the Federation accelerated in the 1960s as the number of Portuguese friendly nations increased. As we will discuss in the Foreign Affairs section the vast majority of the countries surrounding the Federation in Africa during the 1950s were still Europeans colonies. Only in the 1960s will we see emergence of many Portuguese aligned countries in Africa.

In many countries bordering the Federation, Portuguese Media Programming is all they'll have access to for decades to come. This is bound to have an interesting effect. Entertainment tends to be interconnected on the continent with Cheb Khaled, Youssou N'Dour, Salif Keita etc... are all popular across the board regardless of language barriers in songs. The Federation's presence on the continent should provide an easier springboard for Afro-Pop and further interconnect the already present Latin wave as a two way street instead of the one way it was OTL.

You are correct that Portuguese radio programming more than any other medium will have a profound effect in not only sharing Federation cultural programing but also the Federation message. You may notice I stated Federation culture as opposed to Portuguese. There is a distinction and we will discuss that in the culture section later. On the topic of Federation culture, music and so forth two major events would shape its delivery and more importantly it reception. In the 1950s all that was needed to listen to Portuguese radio (for those close to the border) was electricity/batteries and radio.

In the 1960s the African continent saw a proliferation of anti-Federation countries, some tried to jam Portuguese signals and some of the more radical governments such as the Guinea or Congo governments outlawEd the listening to Portuguese stations. This led to two almost simultaneous events. i) The wide availability of windup radio so that even remote villages could listen to both Portuguese and national radio stations. (Sir Trevor Graham Baylis, a Portuguese - British inventor created the windup radio for the Portuguese in 1962). In a surprise move the Portuguese would register a patent on the radio but grant a free license to over a dozen companies both within and outside the Federation to manufacture them so that by middle of the 1960s Africa and other parts of the world would see a huge availability of cheap windup radios. ii) At same time the Federation built many larger and more powerful AM and shortwave radio stations located in the Federation beaming into the neighboring countries to broadcast both Federation music and culture along with other regional programs in a variety of languages (English, French, Arab and local African Languages). To which African governments led by the likes of Tanzania's President Nyerere declared listening to Federation radio station a crime punishable by prison. Which ironically made its popularity that much more appealing especially for the youth and as you guessed increased the Popularity of Federation music an culture.

 

[coffeebreakcigarette]

Man, your timeline is so good. As an Italian-Brazilian of Portuguese descent (well 2/4 Portuguese, the rest is Spanish-Venetian) and passionate about history, I love your TL. You got me the inspiration for writing my own timeline about Italy. So, I understand there was an actual proposal for the Federation in OTL, but when did it happen? Is any document available?
Also, have you seen that there's a map somewhere on the net about your timeline? It's how I discovered it!

 

[Lusitania]

Man, your timeline is so good. As an Italian-Brazilian of Portuguese descent (well 2/4 Portuguese, the rest is Spanish-Venetian) and passionate about history, I love your TL. You got me the inspiration for writing my own timeline about Italy. So, I understand there was an actual proposal for the Federation in OTL, but when did it happen? Is any document available?
Also, have you seen that there's a map somewhere on the net about your timeline? It's how I discovered it!

Hi there thank you for the praise and hope to see you around often. I am glad I inspired you and good luck in your TL.

As for portuense Federation, there was some discussion on the intellectual side but nothing I can substantiate with article. The idea was that how does portugal get to keep its “overseas provinces” be they settler colonies or native majority. Iotl there were a few proposals by African leaders to give all Africans in Portuguese colonies full citizenship and right to vote. But the government from Lisbon rejected it. For one country too poor and another they wanted to keep political control in Lisbon.

Here we have a country that develops its colonies, encouraged them to grow and invests in the people along with infrastructure. You have more Europeans living in Portuguese Africa by late 40s than in the 70s iOTL. The federation was an answer to antagonist US. Was it the only answer no but one they chose.

Could it of worked iOTL, yes but not with Salazar as head of government. If he had left say in if 1940s and country development started 1950 instead of 1960. Then I think by 1960 some sort of federation could of evolved.

 

[coffeebreakcigarette]

Hi there thank you for the praise and hope to see you around often. I am glad I inspired you and good luck in your TL.

As for portuense Federation, there was some discussion on the intellectual side but nothing I can substantiate with article. The idea was that how does portugal get to keep its “overseas provinces” be they settler colonies or native majority. Iotl there were a few proposals by African leaders to give all Africans in Portuguese colonies full citizenship and right to vote. But the government from Lisbon rejected it. For one country too poor and another they wanted to keep political control in Lisbon.

Here we have a country that develops its colonies, encouraged them to grow and invests in the people along with infrastructure. You have more Europeans living in Portuguese Africa by late 40s than in the 70s iOTL. The federation was an answer to antagonist US. Was it the only answer no but one they chose.

Could it of worked iOTL, yes but not with Salazar as head of government. If he had left say in if 1940s and country development started 1950 instead of 1960. Then I think by 1960 some sort of federation could of evolved.

I do remember in my Portuguese Literature classes of these proposals but can't recall WHO made them, do you remember them perhaps? Yeah without Salazar there would be a real chance they could keep them, together with actual functioning nukes that I see you apparently have here with a standoff between Communist China and Lisbon (I mean the handover of Macau was in 1999, the only way to avoid that BESIDES your TL was to have Chiang-Kai Shek winning the civil war IMO). I remember you "kill" him in 1934, do I remember correct? I remember there was an anarchist bomb attempt at him in 1937.
About Salazar's succession, why do you think Carmona would succeeds him instead of Marcello Caetano? If I reember correctly he was the right hand man of Salazar from day 1.

Although I should specify my timeline is more of a "Finlandized" world with a TL which also has inside another TL, who also has another TL. My biggest "WHAT IF" is :

<< Ok, how our world could have been less shitty ? >>

Which doesn't mean it's all roses. It is certainly not The New Order: Last Days of Europe or The Footprint of Mussolini where the world goes "Vlad Tepes", but if I wanna keep it real its not gonna be nice.

Map Thread XIX

notes on the scenario: Map is based on a radical global cooling scenario in approx 2030. This is the result from early adoption of nuclear technology and a big fission based Nuclear war in ttl's 1950's or 180's. This leads to substantial global cooling and sea-level drop of about 30m...

www.alternatehistory.com

This is the map of my TL, it isn't finished and I am also asking someone else to finish the map, basically features a more active (whiche means much less passive) Italy during the cold war, helping some of her former colonies and other countries, having slightly more tech and with trigger happy neighbors (France, Malta and would be former Yugoslavia) which Italy has the good luck of tackling them one by one and not all at once.

Returning to your TL, when is Lisbon gonna get nukes?

 

[Lusitania]

I do remember in my Portuguese Literature classes of these proposals but can't recall WHO made them, do you remember them perhaps? Yeah without Salazar there would be a real chance they could keep them, together with actual functioning nukes that I see you apparently have here with a standoff between Communist China and Lisbon (I mean the handover of Macau was in 1999, the only way to avoid that BESIDES your TL was to have Chiang-Kai Shek winning the civil war IMO). I remember you "kill" him in 1934, do I remember correct? I remember there was an anarchist bomb attempt at him in 1937.
About Salazar's succession, why do you think Carmona would succeeds him instead of Marcello Caetano? If I reember correctly he was the right hand man of Salazar from day 1.

Although I should specify my timeline is more of a "Finlandized" world with a TL which also has inside another TL, who also has another TL. My biggest "WHAT IF" is :

<< Ok, how our world could have been less shitty ? >>

Which doesn't mean it's all roses. It is certainly not The New Order: Last Days of Europe or The Footprint of Mussolini where the world goes "Vlad Tepes", but if I wanna keep it real its not gonna be nice.

Map Thread XIX

notes on the scenario: Map is based on a radical global cooling scenario in approx 2030. This is the result from early adoption of nuclear technology and a big fission based Nuclear war in ttl's 1950's or 180's. This leads to substantial global cooling and sea-level drop of about 30m...

www.alternatehistory.com

This is the map of my TL, it isn't finished and I am also asking someone else to finish the map, basically features a more active (whiche means much less passive) Italy during the cold war, helping some of her former colonies and other countries, having slightly more tech and with trigger happy neighbors (France, Malta and would be former Yugoslavia) which Italy has the good luck of tackling them one by one and not all at once.

Returning to your TL, when is Lisbon gonna get nukes?

Hi there I had seen your map and looks interesting and slot of stories to write to explain each of you countries. You will be busy but having fun. I will be checking it out.

As for the lusophone world I will only comment till current posting ( have written till 1980s but editing it for content and updating as time allows).

In reading about Salazar and Estado Novo, it was for long time from 1930 till his death a one man show. President Carmona who died in 1951 iotl was a figure head with real power being controlled by Salazar. He had started the revolution in 1926 and Salazar joined him in 1928.

ITTL the revolution started in 1920 and Salazar only joined few years later but he had joined two other government ministers (defense and economy) forming a 3 person government. Carmona stepping back at that time leaving government under the 3 ministers.

The collaboration between Salazar and other 2 ministers was combative and either he was deposed or he depose the other ministers. A new minister of armed forces was brought and current 3 person government stayed in power.

The entry Caetano into government was only in the 1940s which was based on iotl time. During the 1950s Caetano position in government conjura to increase with him become Minister of Justice.

Iotl Caetano senior government role also came to be in the 1960s. Remarkably when Salazar had his stroke and was bed ridden no one told him he no longer in charge of country.


As for China two major POD was that communist party was forced to continue fighting Japanese during war instead of sitting it out like iotl. The Chinese civil war happened almost like iotl except that nationalist able to hold onto island of Hainan which with Taiwan almost doubled their size and number of Chinese undercover control.

The second major POD was Mao’s death at time of Soviet leader visit causing An even greater split between China and Soviet Union. More on the repercussions of the split later. What is for sure is that animosity between the two not only along its border but worldwide grows. While in a China a more traditional communist China will emerge in the 1960s.

 

[coffeebreakcigarette]

Hi there I had seen your map and looks interesting and slot of stories to write to explain each of you countries. You will be busy but having fun. I will be checking it out.

As for the lusophone world I will only comment till current posting ( have written till 1980s but editing it for content and updating as time allows).

In reading about Salazar and Estado Novo, it was for long time from 1930 till his death a one man show. President Carmona who died in 1951 iotl was a figure head with real power being controlled by Salazar. He had started the revolution in 1926 and Salazar joined him in 1928.

ITTL the revolution started in 1920 and Salazar only joined few years later but he had joined two other government ministers (defense and economy) forming a 3 person government. Carmona stepping back at that time leaving government under the 3 ministers.

The collaboration between Salazar and other 2 ministers was combative and either he was deposed or he depose the other ministers. A new minister of armed forces was brought and current 3 person government stayed in power.

The entry Caetano into government was only in the 1940s which was based on iotl time. During the 1950s Caetano position in government conjura to increase with him become Minister of Justice.

Iotl Caetano senior government role also came to be in the 1960s. Remarkably when Salazar had his stroke and was bed ridden no one told him he no longer in charge of country.


As for China two major POD was that communist party was forced to continue fighting Japanese during war instead of sitting it out like iotl. The Chinese civil war happened almost like iotl except that nationalist able to hold onto island of Hainan which with Taiwan almost doubled their size and number of Chinese undercover control.

The second major POD was Mao’s death at time of Soviet leader visit causing An even greater split between China and Soviet Union. More on the repercussions of the split later. What is for sure is that animosity between the two not only along its border but worldwide grows. While in a China a more traditional communist China will emerge in the 1960s.

Thanks for the compliment. It will be difficult considering :

1. exams and the necessary research to have a solid suspension of disbelief
2. Despite Italy being central, I want to talk a lot about other countries as well or at least mention them in order to explain the map (what's the point of having one if I don't explain it ? )

Can I ask you something for my timeline?
If OTL Salazar died in the above mention assassination attempt in 1937, who would be his likely successor?

 

[Lusitania]

Thanks for the compliment. It will be difficult considering :

1. exams and the necessary research to have a solid suspension of disbelief
2. Despite Italy being central, I want to talk a lot about other countries as well or at least mention them in order to explain the map (what's the point of having one if I don't explain it ? )

Can I ask you something for my timeline?
If OTL Salazar died in the above mention assassination attempt in 1937, who would be his likely successor?

The issue was that in 1937 when the estado Novo was still young his falling without apparent successor could make the regime fall. But the constitution powers were actually with the president, Carmona had in affect delegated his powers to Salazar. So if we had the same estado novo as iotl till 1937 and the assassination take place then Carmona would of taken power and installed a new weaker prime minister.

There was no one around with Salazars intellect and power both in and out if government. It would of most likely resulted in some coup attempt and at very least power play by various government officials all trying to take power but none really stand out.

If Carmona presidency does survive then we would had a shake up in government and new government in place before WW2.


Note: this was reason that we introduced two fictional characters of Portuguese background but educated in Britain and USA. They were brought in before Salazar and were his equals. Iotl there was no equal to Salazar in the 1930s.

Not that new figures would more likely than not arise and steer Portugal into prosperity.

 

[coffeebreakcigarette]

The issue was that in 1937 when the estado Novo was still young his falling without apparent successor could make the regime fall. But the constitution powers were actually with the president, Carmona had in affect delegated his powers to Salazar. So if we had the same estado novo as iotl till 1937 and the assassination take place then Carmona would of taken power and installed a new weaker prime minister.

There was no one around with Salazars intellect and power both in and out if government. It would of most likely resulted in some coup attempt and at very least power play by various government officials all trying to take power but none really stand out.

If Carmona presidency does survive then we would had a shake up in government and new government in place before WW2.


Note: this was reason that we introduced two fictional characters of Portuguese background but educated in Britain and USA. They were brought in before Salazar and were his equals. Iotl there was no equal to Salazar in the 1930s.

Not that new figures would more likely than not arise and steer Portugal into prosperity.

I don't know how to feel about fictional character influencing real world history, I don't think it's ASB but maybe I am using too much logic to make my own TL , unlike the Footprint of Mussolini.

 

[coffeebreakcigarette]

The issue was that in 1937 when the estado Novo was still young his falling without apparent successor could make the regime fall. But the constitution powers were actually with the president, Carmona had in affect delegated his powers to Salazar. So if we had the same estado novo as iotl till 1937 and the assassination take place then Carmona would of taken power and installed a new weaker prime minister.

There was no one around with Salazars intellect and power both in and out if government. It would of most likely resulted in some coup attempt and at very least power play by various government officials all trying to take power but none really stand out.

If Carmona presidency does survive then we would had a shake up in government and new government in place before WW2.


Note: this was reason that we introduced two fictional characters of Portuguese background but educated in Britain and USA. They were brought in before Salazar and were his equals. Iotl there was no equal to Salazar in the 1930s.

Not that new figures would more likely than not arise and steer Portugal into prosperity.

Also , almost completely forgot a few things. But, where did you get the idea of the colonized getting the same rights as the men and women of Portugal? Was there a basis for that too? What about the nukes?
I am of Portuguese descent, but I am culturally Italian-Brazilian so I don't know a lot about Portugal besides Literature and the Language.

And Porto wine of course. That one is delicious.

 

[Lusitania]

I don't know how to feel about fictional character influencing real world history, I don't think it's ASB but maybe I am using too much logic to make my own TL , unlike the Footprint of Mussolini.

We can take someone that is insignificant, change his death as baby and give him a different life and then utilize that person in the TL. History does not record everyone who has lived and the purpose of the TL be it the Rebirth of Empire and Lusophone world is to tell a story, although it is a historical story. It is like writing a novel about a Portuguese drummer boy who was drummer for Wellington's Iberian campaigns. That person would live through all the major campaigns, travel around the Peninsula and end up in southern France. There is no historical record of such a drummer boy but it not mean there was not one. In my TLs we utilize as many as possible real historical characters. In the Lusophone world we use the possibility of there being two boys who were of Portuguese descent and through fate grew to be educated and then be right people at right place to be invited to be part of the TL. We also had a small earthquake in Algarve which opened a fissure that led to discovery of oil. Thus we have the POD of the TL. What happens next when I write is based on historical possibility and as much realism as possible. Why it took over 30 years to develop Portugal and its overseas provinces to point of creating the Federation.

Also , almost completely forgot a few things. But, where did you get the idea of the colonized getting the same rights as the men and women of Portugal? Was there a basis for that too? What about the nukes?
I am of Portuguese descent, but I am culturally Italian-Brazilian so I don't know a lot about Portugal besides Literature and the Language.

And Porto wine of cause. That one is delicious.

The part of non-Europeans getting same rights as Europeans has been around for long time but due to two major European powers (Britain and a France) being democracies which states everyone gets one vote and being equal that has scared everyone away. This was tried in the 1950s with the creation of the Federation of Rhodesia and Nyasaland but again being a democracy and small European population the whites soon started putting barriers to the blacks and the Federation failed. The Portuguese Federation On the other hand had several distinct characteristics going for it that other European countries not have: i) By time The federation started a large European population not only in Africa but in Europe. With over 1 million Europeans in Africa the Portuguese had the second largest European population second only to South Africa. ii) the percentage of Europeans to non Europeans about 1-3. If we look at both french and British it is about 1-5 or higher. Thus non Europeans outnumbered Europeans even more. iii) portuguese federation was not a democracy the government had rigged the system so that they were always in power. They recruited non-Europeans to be part of the party, just enough to make people feel included but not enough to loose power. (that would come later in the 1980s onward as non-European reached the upper echelons of both corporate and political power. From then the people in power would alternate depending on political power and personality.

FYI iOTL in the 1960s several African political leaders who challenged the government to give all Africans the same rights as the Europeans, the government did not take them up on the idea and the colonials wars grew and the overseas provinces were eventually lost.

You keep asking about NUKES but as I indicated I will only discuss things i have posted. Sorry, what I can state is that Portuguese Federation is a Nuclear Power, it was the 5th declared nuclear power. There will be a lot more about this in the 1950s foreign Affairs' and of course in the 1960s onward.

 

[coffeebreakcigarette]

We can take someone that is insignificant, change his death as baby and give him a different life and then utilize that person in the TL. History does not record everyone who has lived and the purpose of the TL be it the Rebirth of Empire and Lusophone world we are telling a story, although it is a historical story. It is like writing a novel about a Portuguese drummer boy who was drummer for Wellington's Iberian campaigns. There is no historical record of such a drummer boy but it not mean there was not one. In my TL we utilize as much as possible real historical characters. In the Lusophone world we use the possibility of there being two boys who were of Portuguese descent and through fate grew to be educated and the right person at right place to be invited to be part of the TL. We had a small earthquake in Algarve which opened a fissure that led to discovery of oil. Thus we have the POD of the TL. What happens next when I write is based on historical possibility and as much realism as possible. Why it took over 30 years to develop Portugal and its overseas provinces to point of creating the Federation.


The part of non-Europeans getting same rights as Europeans have been around for long time but due to democracies being one vote being equal that has scared everyone away. This was tried in the 1950s with the creation of the Federation of Rhodesia and Nyasaland but again being a democracy and small European population the whites soon started putting barriers to the blacks and the Federation failed. The Portuguese Federation had several distinct characteristics going for it that other European countries not have, a large European population bot only in Africa but in Europe. With over 1 million Europeans in Africa the Portuguese had the second largest European population second only to South Africa. It was not a democracy the government had rigged the system so that they were always in power. They recruited non-Europeans to be part of the party, just enough to make people feel included but not enough to loose power. (that would come later in the 1980s onward as non-European reached to upper echelons of both corporate and political power. From then on it would alternate depending on political power and personality.

FYI iOTL in the 1960s several African political leaders challenged the government to give all Africans the same rights as the Europeans, the government did not take them up on the idea and the overseas provinces were lost.

You keep asking about NUKES but as I indicated I will only discuss things i have posted. Sorry, what I can state is that Portuguese Federation is a Nuclear Power, it was the 5th declared nuclear power. There will be a lot more about this in the 1950s foreign Affairs' and of course in the 1960s onward.

Well, about the fictional characters, I cannot say I don't agree now.

Really ? There were people who managed to challenge Salazar to give the same rights to Lusophone Africans? When we studied history in Portuguese Literature I don't think they talked about this challenges. Then again they were very biased.

About the nukes... sorry man but a nuclear Portugal is like a delicious, juicy Picanha that's not on sale but just for exposition. I will be more patient from now on. 🖖

 

[Lusitania]

1950 – 1959 (cont)

Economy (cont)

Industrialization​

Industrialization of Portuguese Federation continued with major Portuguese and foreign companies continuing to either expand their operations as well as building new factories. Aluminum and steel production reached new levels in the 50s. In 1959 Portuguese steel output reached 25 million tons only second to Germany, while aluminum output crucial to industrial products as well as the new aircraft manufacture reached 1 Mt or 12% of the world output. This required the Portuguese to acquire additional sources of both iron ore and Bauxite both of which was abundant in Brazil. Investment in Brazilian mining industry throughout the decade increase substantially to guarantee both Portuguese access and supply of these resources.

In 1950 copper mining and copper smelters in West Africa allowed for Portuguese Federation to become self-sufficient in copper just as Europe and US faced restrictions due to demand by Korean war. During the 1950s Portuguese self-sufficiency became a government goal. Exports of copper and other minerals mined in Portuguese Federation were only allowed if Portuguese Federation’s needs were being met. This was to counter restrictions and high tariffs on manufactured products being imposed by other countries.[1]

Production of consumer goods such as appliances, furniture, clothing and shoes was supported by government and industry responded by increasing production. As electricity cost were reduced purchase of refrigerators, stoves and other electrical appliances continued to grow in the Federation as well as Brazil and Argentina, who became important markets for many Portuguese consumer goods.

The electrification of country along with reduction of electricity prices through the 50s brought about a growth in offering of household appliance such as refrigerators, stoves and other electrical appliances. Foreign companies such as Electrolux from Sweden, along with British companies Kenwood, LEC, Morphy Richards, Prescold, and Servis either expanded their manufacturing in the country or built new factories. They competed with domestic companies such as Leifheit Appliances, Bosch-Lusitania and Flama.[2]

The availability and quality of other consumer goods such as furniture, furnishings, clothing and shoes also increased as government provided them with continued support so that industry was able to increase production.

During the 1950s exports especially to South America from these companies accounted for a greater percentage of their production. At times competing either with products from their parent company’s other manufacturing plants or from US products. During the 1950s Portuguese companies tried to differentiate themselves from other companies in both price and quality.

During the 1950s Volvo and UMM accounted for 70% of the truck market in the country while the Daimler truck division accounted for half of the remaining truck sales. Volvo Portuguese production of trucks began surpassing its Swedish parent’s factory and by 1959 it was producing trucks for both Portuguese market as well as South America. UMM expansion into the civilian side continued to grow and by 1955 they were manufacturing over half a dozen truck and all-terrain vehicle models. UMM all-terrain vehicles and trucks were classified as Portuguese Landover. In 1952 Simoldes began manufacturing plastic injection moldings for the auto industry as well as other industries. By the end of the decade it was exporting to not only European car manufacturers but also to South America. In 1952 José Coelho dos Santos negotiated with French car companies Renault, Peugeot and Citroen to build French vehicles in Federation, name of the company was LUFR. Two separate plants were built, the Renault plant was located in Benguela West Africa, while the Peugeot / Citroen plant was located in the Guarda region. The deal provided the three car companies with access to the growing Portuguese market without having to invest any monies. By the end of the decade LUFR car company was producing vehicles under the three manufactures names but with 70% Portuguese content. In 1955 Fiat announced their entry in the Portuguese market with the construction of a plant in Quelimane in East Africa. The plant would be producing a variety of Fiat cars and trucks.

In 1952 the new Edfor plant was opened and production of the four vehicles continued strong with delivery delay of one year on some of the models. Competition from European and American sports cars, high end and luxury cars intensified but Edfor was able to continue increasing its sales. They along with Austin Martin Portugal dominated the domestic sports car while with Daimler controlled the high end and luxury car sales in country.

The Americans car companies (GM and Ford) took a different approach; GM decided not to invest in Portugal/Federation because it did not want to create a joint venture. Ford on the other hand decided to take a huge risk by agreeing to setup a car plant in Goa in return to only having to give up 30% instead of the standard 50%.[3]
During the 1940s Steyr-Daimler-Puch's had established a motorcycle and moped plant under the brand PUCH in Castelo Branco. In 1951 the name of the company changed to Beira Motors and the Motorcycle and Moped division started manufacturing under the Gazela Brand. In 1953 production of Motorcycle and Mopeds reached 100,000. At same time several new competitors also started manufacturing motorcycles and mopeds with Casal, FLAMEL and SIS being the most successful.

During the 1930s and the 1940s many small-scale bicycle manufacturers had been founded and in the 1950s many were still manufacturing but two companies: Esmaltina & Órbita had grown into national companies manufacturing a variety of bicycles, by 1953 they accounted for over 80% of the domestic market and were starting to export their bicycles. Meanwhile two racing bicycles firms; Trinity Racing Bikes and Nicolau Racing were the two most prestigious companies and accounted for over two thirds of Portuguese bicycles in the “Tour of Federation” bike race.[4]

In the 1950s saw a growth in firms such as ARSOPI a manufacturer and assembler of equipment in stainless steel, carbon, clad and duplex steel, in titanium and other materials. In 1958 ARSOPI received substantial government support and funding to expand its Titanium manufacturing capabilities which had both commercial and military applications. At same time provinces of Benguela and Estremadura (especially area between Tejo river and Setubal) saw a rapid expansion of steel manufacturing with many plants either expanding or being built to supply many of the steel and steel derived products the country needed and also for export. During this time the country became self-sufficient in stainless steel, pipelines and other steel products. As Portuguese production of steel increased the country’s mills started looking outside the federation for additional sources of iron ore.[5]

Oil / Gas and Minerals​

In 1952 Portuguese Federation announced it was moving from selling unrefined oil to only selling refined oil by the end of decade. This was greeted by indifference from the majority of Portuguese Federation’s customers and Portuguese Federation over the next few years lost several of its customers. This could have been worrying except that domestic consumption growth as well as exports to Brazil continued to outweigh any loss of exports. By 1954 Portuguese oil output reached 996,000 bpd while the Portuguese Federation’s three refineries (Sines, Luanda and Quelimane only had a capacity of 456,000 bpd (Sines 306,000, Luanda 105,000 and Quelimane 45,000). At same time, Portuguese oil production was set to increase by over 400,000 – 600,000 bpd with the discovery and development of offshore deposits in both Algarve and Cabinda. Lastly the importance of Portuguese oil production free from Middle East volatility became increasingly important to Europe following the Suez Canal Crises.

To meet domestic oil consumption as well the government’s objective to refine all oil production in the country, current Portuguese oil refineries capacity were set to increase up to 3-fold as well as new refineries planed. The two primary Portuguese refineries in Sines and Luanda were expanded with Sines’ capacity doubling to 625,000 bpd, while Luanda’s refinery capacity was increased to 489,000 bpd. In the Zambezia province the Quelimane refinery capacity was increased to 115,000 bpd. In 1955 a second refinery on the Iberian Peninsula was also announced, the refinery would be owned by Lusogas and located in province of Minho at Matosinhos. The refinery would have a capacity of 250,000 bpd as well as specialize in producing specialty petroleum products including a large variety of derivatives or aromatic products, important raw material for the chemical and petrochemical industry, plastic, textiles, fertilizer, rubber, paint and solvents. In 1957 Shell/GALP began building a 400,000-bpd refinery in Portuguese India. The Daman refinery would not only provide Portuguese oil to Portuguese India but also Kingdom of Baroda as well as the other Indian countries.

The Suez Canal Crises showed Europe the volatility of Middle East and that they needed alternative sources of oil. Following the Arab embargo to UK and France the ability of Portuguese Federation to step in and increase its exports to both countries showed Europe and more specifically France and UK that they needed to have continued access to Portuguese oil, even if it was refined. In 1959 an agreement was signed with Spain and the Basque Republic for the building of a 350,000 bpd pipeline from Portuguese Federation to Orleans France where it would branch into two separate pipelines, the southern one would go to Marseille on the Mediterranean coast before continuing to Italy ending in Milan. The northern line would go north to Luxemburg then on to Germany. A separate pipeline from Orleans to UK under the channel was originally planned but UK chose instead to transports its oil from Portuguese Federation by tankers to UK (120,000 bpd) this resulted in the pipeline being built only to handle 250,000 bpd.

In the 1950s as the seven new hydroelectric dams started in the 40s came online on the Iberian Peninsula, Federal government planned several new dams including the largest ones to date on the Peninsula, Alto Lindoso Dam on the Lima River and the Alqueva Dam on the Guadiana River. In West Africa in 1956 and 1957 after 10 years of construction the huge dams Lauca and Cambambe dams on the Kwanza River with a combined capacity of over 2,500 MW came online. Meanwhile in East Africa the Cahora Bassa dam in began filling up in 1959 and was planned to be online within 1-2 years and have a capacity of 2,000 MW. Studies were commenced in Guinea, Equatorial, West Africa, East Africa as well as some of the East Indies islands to identify small and medium size Hydro Electric sites for exploitation in the coming decades.

Natural Gas production both offshore of Alentejo in the Iberian Peninsula and offshore Cabinda provided Portuguese Federation with brand new sources of energy for power and gas thermal power plants were planned for East Indies, Macau, India and many of the islands.

In the Iberian Peninsula, the oil pipeline from Algarve to Sines was expanded to accommodate the increased production. An extension of the pipeline to Matosinhos was also started. When the agreement to build a pipeline from Portugal to Western Europe was signed a second pipeline was built from Sines through Beira to Trás os Montes. A new oil storage tank park was built in Macedo de Cavaleiros. The new West Europe Pipeline was then connected to Portuguese pipeline in Trás os Montes and crossed Spain. In the Indian Subcontinent following the end of Indian Civil War the Indian Western Pipeline was negotiated between Portugal, Baroda, Democratic Union of India (DUI), Hyderabad, and Mysore to transport Portuguese oil from Daman to other parts of Portuguese India and the other countries as well as connect to the DUI refinery in Bombay when it was repaired. In West Africa, several pipelines were built to transport oil from the refinery in Luanda to the interior of West Africa. In 1959 as part of the negotiations with Central African Federation to build a railway from West to East Africa an oil pipeline was also planned to run alongside the rail line.

The mining industry continued to grow, with iron ore, copper mines being expanded. Mining industry grew by 25% in the 1950s with transportation being the single biggest limiting factor in the development of the industry. In Portuguese Morocco, iron ore mining was expanded by the Portuguese as was the phosphate mining in Sahara. Mining of precious metals such as gold, silver, and diamonds grew over 30% from 1940s levels throughout the country. In 1959, all South African companies were forced to sell out their interests in Portuguese Federation when South Africa and Portuguese Federation cut diplomatic and economic ties due to increased diplomatic and border tensions.

Aiding the growing mining industry was a set of domestic and foreign companies what were very integrated in the mining industry and the challenges facing the industry. Foremost amongst the companies was Atlas-Sand which doubled in size during the 1950s as it began charting an independent course from its Swedish parents. In 1958 the company was listed on the Portuguese stock exchange and the two Swedish companies stake in the company shrank to 30%. Meanwhile the British mining equipment, machinery and vehicles companies Aveling-Barford, JCB, and Terex Pegson presence in the country continued to grow with Portuguese Federation accounting for over 50% of their sales. In the 50s they followed many other companies before and began transferring assembly and manufacturing to the Federation.

Agriculture, Forestry and Fishing​

The 1950s agriculture witnessed a major modernization as investment in mechanization greatly reduced the number of workers needed to work the farms. Increased herbicides and fertilizers use resulted in Portuguese agricultural yields increasing substantially. In 1956 Portuguese Federation became self-sufficient in the production of potash fertilizer as new potash mines in both East and West Africa opened which with the Phosphate mining was able to meet the country’s agriculture fertilizer needs.

The numbers of farmers in the Iberian Peninsula decreased by 60% while acreage and outputs continued to increase. This was a result of farmers selling out to large farm holding or forming cooperates to compete. The one agricultural product that did decrease in acreage was wine, as government and cooperative analysis forced farmers to switch to higher yielding products on land better suited for other agricultural products. Even though acreage decreased the quality and production of port wine and regular wine increased and wine prices rose 30% as higher demand and higher quality translated into higher profits for the remaining wine growers.

The agricultural industry also grew in the country as the number of companies increased with several new players starting up new enterprises. Both new domestic companies and foreign companies entered the market. European conglomerates such as Knorr and Unilever entered the Portuguese market trying to gain a foothold. At same time domestic companies formed cooperatives to distinguish themselves from foreign firms. Taking the example of Port Wine standards, similar standard was established by Olive Oil producers both in Iberian Peninsula, Portuguese Morocco or Angola. Like Port wine a Portuguese olive oil seal was placed on Portuguese bottles to signify they only contained Portuguese Olive oil. In 1957 Portuguese fruit farmers established their own stamp for Portuguese fruit especially orange farmers. By end of the decade most orange farmers in Algarve and Portuguese morocco were switching to the new Portuguese hybrid named Larache. It had been developed by Algarve Orange Association and was a cross between Valencia and Clementine but was juicier and better suited for Portuguese climates in Algarve and Morocco.

Farm implement, tractor and other farm machinery companies continued to expand with the establishment of new plants by companies such as British Vikers which closed their British plant and continued manufacturing tractors for both agriculture and construction in the Federation. While the other two major British companies Newfield Universal and David Brown continued to export their tractors and equipment to the Federation. At same time the two major tractor manufacturers in the Federation Ferguson-Brown Company and Marshall, Sons & Co had combined their operations into new company called FB&M to both respond to increased competition as well as expand sales to outside the Federation.

The Federation also witnessed an increase in the production of herbicides and fertilizers. In the 1950s Portuguese companies obtained license to manufacture both 2,4-D and Atrazine which greatly increased Portuguese yields. At same time mining and manufacture of fertilizers such as Nitrates, Phosphates and Potash was expanded in the Federation and their use was also greatly expanded.

Fisheries saw a large investment in modern ships with the last sail fishing boat being retired in 1957. In 1954 Portuguese Federation also became one of the handful of countries that proclaimed a 200 nautical miles exclusive economic zone around its coasts which included restrictions on fishing by foreign ships. This did not sit very well with several of the larger fishing countries such as Spain. Portuguese naval enforcement and seizure of foreign ships and imprisonment of boat captains showed that Portuguese Federation had both the determination and capabilities to enforce its economic zone.

The increased population as well as increasing standard of living meant that the Portuguese Federation continued importing both wheat and other cereals as well as beef. Portuguese Federation’s primary source for both was Argentina who would in turn bought Portuguese oil and manufactured goods. During the 1950s as trade between the two grew the Portuguese-Argentinean barter system also grew and continued to account for large portion of trade between the two countries.
________________________________________________________________________________________________________________________________________________________________________________________
[1] In 1952 USSR placed severe restrictions on exports to Portuguese Federation both of raw materials as well as other products. During Eisenhower 1st term the USA placed Portuguese Federation on a restricted trade list preventing US companies from selling advanced technologies. This had been instituted due to Portuguese Federation’s perceived militarization and profiting from the conflicts in Indian Subcontinent and East Indies. During the 1950s Argentina became an important source of copper to the Federation.
[2] In 1948 Günter Leifheit and his family emigrated to Portugal and in 1954 founded Leifheit Appliances, Bosh subsidiary was founded in 1939 as part of the last German investment in Portugal before the war. In 1944 it was bought out by Portuguese investors and renamed Bosh-Lusitania. Flama was formed in 1950.
[3] Following the Indian Peace Treaty and favorable trade agreement between Portuguese Federation and several Indian states the Ford plant in Panjim Goa was built in 1955 with a two production lines. One for Portuguese market and second for the Indian market.
[4] The two racing bike companies were named for the two dominating Tour of Portugal racing champions of the 1920s and 1930s. José Maria Nicolau was born in 1908 and won the Tour of Portugal in 1928 -1930, 1932,1934 and 1937 when he retired from competitive racing. Alfredo Trindade was born in 1908 and won the Tour of Portugal in 1931, 1933, 1935-1936 and 1938. He retired from competitive racing in 1939 due to an accident.
[5] In 1957 also marked the start of the fusion of Portuguese – Brazilian Industrialization as Portuguese investors purchased 40% of Companhia Vale do Rio Doce, Brazil largest iron ore producer. This marked a gradual shift in the company’s exports which had till then been geared towards exports to US towards the Federation. As part of the purchase an agreement was signed with Brazilian government promising to double Brazilian iron ore, copper and nickel mining capacity as well as invest in the modern port terminals and transportation infrastructure by 1970. As part of the agreement was the reduction in tariffs on Brazilian steel products to the Federation market. Both of Brazil’s large steel makers Companhia Siderúrgica Nacional (CSN) and Gerdau had long sought entry into the Portuguese market. Likewise, the agreement also allowed Portuguese steel manufactures into the Brazilian market.

This section gives us a snapshot of the variety of Portuguese Industry that was started and grew in the Federation during the 1950s. It is by no mean an exhaustive list for there are other companies that we have not mentioned but that also existed. FYI the company names listed are actually Portuguese companies that either existed or were started in Portugal IOTL (except for racing bike companies). Some may not of been created during the same decade but since we are discussing a much more advanced country they would and could of started during this time. Government meddling in the location of many companies was an attempt to spread out industrialization so that benefits of factory jobs was spread-out as much as possible. The scars of the 1940s when things were no longer available and ongoing animosity with US such that even purchasing American machinery was difficult and more costly led the Portuguese to push for Portuguese industrialization. Cost factor was a factor though as Portuguese companies many times could not produce items as cheap as America or other European countries. This of course led the Portuguese government like majority of the world at the time to impose duties and limitations on imports of items from specific countries. Another growing option that grew in scope and importance was exports to South America and growing Portuguese Aligned countries. Questions/ Comments?

We now will return in two weeks May 24 as we finish posting Economy.

 

[SealTheRealDeal]

But are there any soft drink companies in Portugal?

 

[Sceonn]

Are the Labor Strikes that plagued Britain during the 70's-80's affected by the ease of British Manufacturers relocating to Portugal?

I really hope The Subcontinent creates an Alt-EU of their own down the line. There might be lesser poverty and wealth divide TTL with the various Nations replacing the large but inefficient juggernaut of OTL.

Yeah, due to geographic make up fishery is bound to be major in the Federation.

Will the Federation expand Barter Trading to more nations? Does nations without sufficient cash could really benefit from that.

Has Mexico tried to with the Federation, or is the Northern Neighbor watching too closely for that?

Also just a refresher but was the USSR as successful in assimilating Eastern Europe as OTL given the greater Nazi resistance?

 

[Guilherme Loureiro]

[5] In 1957 also marked the start of the fusion of Portuguese – Brazilian Industrialization as Portuguese investors purchased 40% of Companhia Vale do Rio Doce, Brazil largest iron ore producer. This marked a gradual shift in the company’s exports which had till then been geared towards exports to US towards the Federation. As part of the purchase an agreement was signed with Brazilian government promising to double Brazilian iron ore, copper and nickel mining capacity as well as invest in the modern port terminals and transportation infrastructure by 1970. As part of the agreement was the reduction in tariffs on Brazilian steel products to the Federation market. Both of Brazil’s large steel makers Companhia Siderúrgica Nacional (CSN) and Gerdau had long sought entry into the Portuguese market. Likewise, the agreement also allowed Portuguese steel manufactures into the Brazilian market.

I sincerely doubt the Brazilian government(the sole owner of CVRD back then) would allow that, even with the large incentives you're giving for the deal. In fact, I can see by this time a large outcry about 'Portugal recolonizing Brazil', both by Brazilian nationalists and by those who are more tied to US interests, given the level of penetration of Brazilian industry by Portuguese industrial groups that you are postulating in your timeline(and before someone mentions JK's industrialization program that happened at this time in OTL, he never permitted foreign investment on capital goods industries, only on consumer goods industries).

Also, CSN, as a government-owned company, wouldn't be concerned with foreign markets; it would be directed to supply and support the industrial policy of the Brazilian government.

 

[Lusitania]

But are there any soft drink companies in Portugal?

Yes several both iOTL and few more in the Federation
In the late 1940s Compal was founded and by 1950 was producing several fruit juices.
In 1946 Sumolis was founded which not only produced the Sumol brand of orange drink but several other flavors. In the 1950s it expanded into other agricultural products. Together with Compal was dominant players in the softrink market.
In 1952 Brisa was formed selling not only juice but other flavors and by 1955 started selling Brisa Cola and Brisa Lemao.
While of course the country oldest soft drink company is Laranjada which was founded 14 years before Coca cola in 1872. Still going strong and in 1959 merged with Brisa.

as for foreign owned or affiliated companies both Pepsi and coca-cola was also sold along with few German and British brands. The Brazilians are also active in market as they introduced guarana-flavored drinks.

 

[Lusitania]

Are the Labor Strikes that plagued Britain during the 70's-80's affected by the ease of British Manufacturers relocating to Portugal?

Hi not sure how answer that. By that I mean we are having to talk about stuff 2 decades in future and I am not able to discuss so far in future.

I really hope The Subcontinent creates an Alt-EU of their own down the line. There might be lesser poverty and wealth divide TTL with the various Nations replacing the large but inefficient juggernaut of OTL.

So Europe will be centered on a much larger germany. Remember no East and west Germany. Just Germany. So we will have growth throughout The whole country not just in west. As for EU, yes as for north south divide it will continue to exist (we will discuss it in more detail in the foreign Affairs.).

Yeah, due to geographic make up fishery is bound to be major in the Federation.

yes Fisheries are large and modern. With fishing in pacific, Atlantic and Indian oceans.

Will the Federation expand Barter Trading to more nations? Does nations without sufficient cash could really benefit from that.

Has Mexico tried to with the Federation, or is the Northern Neighbor watching too closely for that?

What I can state is that barter network does grow and the 1960s and 1970s are the crucial years for its maturity. More on it in later posts.

FYI the country most opposed to it is the USA which sees it as an attack on its dominance of the capitalism.

Also just a refresher but was the USSR as successful in assimilating Eastern Europe as OTL given the greater Nazi resistance?

We actually will have a large section of Eastern Europe. The Soviets are missing Czech and eastern Germany do they feel more venerable. FYI Europe during the 1950s is more heavily armed as the events of the 1948 Iron Curtain crises is still on people minds. How Soviets and Eastern Europe react and develop during the 1950s will also be major part of the Foreign Affairs.

NOTE: your questions are really good and valid except they delve into a lot of topics that be covered in future. In week and half we finish the economics section.

 

[Sceonn]

Thanks for responding.

So Europe will be centered on a much larger germany. Remember no East and west Germany. Just Germany. So we will have growth throughout The whole country not just in west. As for EU, yes as for north south divide it will continue to exist (we will discuss it in more detail in the foreign Affairs.).

I actually meant the Subcontinent of India, but this is a fine answer too.

 

[Lusitania]

Thanks for responding.

I actually meant the Subcontinent of India, but this is a fine answer too.

My bad, yes they do we will have something on it in the foreign Affairs section. As for less poverty that I cannot promise. Just maybe differently distributed.

 

[Lusitania]

I sincerely doubt the Brazilian government(the sole owner of CVRD back then) would allow that, even with the large incentives you're giving for the deal. In fact, I can see by this time a large outcry about 'Portugal recolonizing Brazil', both by Brazilian nationalists and by those who are more tied to US interests, given the level of penetration of Brazilian industry by Portuguese industrial groups that you are postulating in your timeline(and before someone mentions JK's industrialization program that happened at this time in OTL, he never permitted foreign investment on capital goods industries, only on consumer goods industries).

Hi, thanks for pointing out several major discrepancies when comparing Brazil in the TL to iOTL. The points you raise and concerns you express are legit and I will try to answer them. First I apologize for information at times is scattered through out a decade and at times it spans several decades. Over and above the post on Brazil in world section there was also a bit of information on Brazil in politics, military and I will be presenting information on Brazil’s GDP in the final section of the Economy. In addition we also mention Brazilian culture in the Culture section and lastly we have another section about Brazil in the Foreign Affairs. therefore as you can see the information is all over the place and can be difficult to follow especially with part of it not posted yet so questions and concerns will arise. So here go some answers.

Portuguese - Brazilian enhanced relation started in the late 1940s and continued into the 1950s. The first country to recognize the Portuguese federation was Brazil and it had a huge following in Brazil with Portuguese Ambassador Júlio Dantas (1949-1959) being a regular contributor to several Brazilian & Argentinean newspapers such as Rio de Janeiro's “Correio da Manhã" & Buenos Aires' "La Nación”. His articles had a huge impact on Portuguese and Brazilian relations in that he was very careful never to discuss Brazilian politics, issues and problems. He would concentrate on explaining the Portuguese Federation’s vision, talk about what was going on back in the federation, changes in Portuguese cities, the growth in economy and increasing standard of living. He would also make a point of praising the progress Brazil was making. His detractors called him "Ministro do Mar de Rosas" Minister of Bed of Roses, for his glowing reports. He would challenge his adversaries to visit Federation and tell the readers in Brazil that what he was saying was not true. Few did visit the federation but their articles would be about petty things and would hardly get any publicity. In 1958 when Minister of Foreign Affairs, visited South America and spoke at the Sao Paulo Business Association diner in his honor. He only spoke of Portuguese good wishes for Brazil and that the Federation was there to support Brazil in what ever it could. He re-iterated Portuguese government’s policy of non-interference and not To be involved in Brazilian internal affairs. This of course was in complete contrast to the continuous attacks by the USA government both against the Vargas and JK governments and continuous personal attacks against JK and his government in Brazilian press by the American Ambassador John Moors Cabot. FYI these attacks by both USA government and Ambassador Cabot occurred.

It was in this environment that Portuguese prestige, influence and power grew and influenced Brazilian politics and business community. ITTL the growth of the Brazilian economy was higher during both Vargas and JK governments. Brazil copied many policies that were being implemented in the Federation. This was done not on purpose but simply because the Portuguese had provided a blue print that the Brazilians used. Government policies on transportation infrastructure (rail and road), energy, electricity, health and education policies borrowed some aspect from the Federation. Business grew and prospered during both administrations and the growing business community demanded reforms. For example the 27 government owned small stock markets were merged into 2 major (Sao Paulo and Rio de Janeiro) and 7 smaller regional markets from 1955-1957. (IOTL they only reformed in late 1960s). The government setup associations and private companies to manage the new larger stock markets and the number of companies and value of stocks listed on the Brazilian stock market doubled by 1960. To finance the ongoing economic expansion and government investment along with private enterprise own borrowing Brazil's foreign debt grew to 810 million by 1959 (iOTL it was at over 300 million). Debt financing became a major issue during JK’s term and the government sold majority stake in several large state owned corporations such as CVRD to Brazilian private investors. Legislature was passed restricting foreign investment in Brazilian stock market and "Critical Industry and Companies" had to have 60% of their stock owned by Brazilians and Brazilian companies without any foreign influence. European car companies along with other industries were invited to invest in Brazil, these companies could be controlled by foreign parent companies but were required to have at least 25% of the stock listed on the Brazilian markets. It was under these conditions that JK announced the sale of 40% of the CVRD to Portuguese investors and industry who as indicated put the stock up as guarantee they would fulfil their commitments invest and to promote growth of Brazilian industry and exports.

Now as you have indicated this alignment, influence and investment was opposed by two groups, pro-USA right wing and the nationalistic left wing movements and their political supporters in the Brazilian National Congress. As KJ's term came to an end and his successor campaigned for a continuation of the policies started under JK those opposed to the actions and influence of the Federation both on the right and left grew louder in their attacks and demands for a curtailing of Portuguese "invasion". The Portuguese invasion was a term coined by Brazilian movie director Tom Payne in 1954 complaining about the number of Portuguese movies being shown on Brazilian theatres. From 1950-1959 for every Brazilian movie being shown there were on average three Portuguese movies being shown on Brazilian theatres.

Also, CSN, as a government-owned company, wouldn't be concerned with foreign markets; it would be directed to supply and support the industrial policy of the Brazilian government.

CSN was partially privatized by Vargas and remaining shares privatized by JK to Brazilians, the new Brazilian private owners wanted to not only grow in Brazil but also a part of the Federation market. Brazilian wages being 40% lower than in the Federation and their access to cheaper Brazilian coal and iron made their steel cheaper than Portuguese companies. Expansion of CSN steel mills had not translated into increased sales in the Federation due to high Portuguese tariffs on foreign steel. It took the Portuguese-Brazilian agreement to allow Portuguese into the Brazilian market and Brazilians into the Portuguese market.