The Estado Novo, set up in 1937 under the presidency of Vargas, was affected by Brazil’s response to World War II. Until 1942 the Army High Command under Dutra and Goes Monteira had been sympathetic to Germany and the Axis powers. The Germans had looked on Brazil as an important trading partner in the mid- 1930s and KRUPP had offered assistance for the building of a steel plant in Brazil.
In 1942 Brazil joined the Allies because Vargas felt that his country would gain more from a close connection with the United States. The US sent a technical mission to help plan Brazil’s mobilization—headed by Morris Llewellyn Cooke. She declared war on Germany, Italy and Japan in 1942 and sent troops to Italy. She also made available essential sea and air bases for the US Air Force and Navy.
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