At the beginning of World War II Brazil was neutral. They traded with both the Allied and Axis Forces. But after 1939 the war made trade with Europe difficult. They turned to the United States as a trading partner. The Americans pressured Brazil to join the Allies. This led to the Joint Brazil-U.S Defense Commission, which was designed to counter Axis influence in South America. At the beginning of 1942 Brazil permitted the US to set up air bases on its soil. This came as an agreement that the US would help establishing a national steel industry in Brazil, the Companhia Siderúrgica Nacional. This would initially help supply the Allies industrial demand for steel, and after the war, contribute to the country’s industrialization and development. 