The United States has imposed a 50% tariff on Brazilian products, citing the trial of former Brazilian President Jair Bolsonaro as the reason. US President Donald Trump signed an executive order implementing an additional 40% tariff on top of existing duties, bringing the total to 50%. The move is seen as a punitive measure against Brazil’s government, which Trump claims is engaging in a “witch hunt” against Bolsonaro.
The tariffs are expected to impact a range of Brazilian products, including planes, grains, and crude oil. Brazil’s government has denied any wrongdoing and insisted that the case against Bolsonaro will proceed unless prosecutors decide otherwise. Bolsonaro is accused of plotting a coup to stay in power after losing the last election.
The Brazilian government has vowed to take reciprocal measures in response to the tariffs. President Lula da Silva has disputed Trump’s claims of unfair trade practices and warned of potential repercussions for US businesses. The tariffs have already caused the Brazilian real to fall, and could significantly impact US-Brazil trade relations.
The US-Brazil trade dispute comes despite a reported trade surplus of $284 million in favor of the US in 2024. The move has sparked concerns about the potential consequences for businesses and trade between the two countries.
