US to Impose 25% Tariff on Most Brazilian Imports Starting July 22
The Trump administration's first tariff action after Supreme Court ruling targets Brazil amid political tensions and ongoing negotiations.
Fabrizio Zini
The United States will impose a 25% tariff on most imports from Brazil, with the measure set to take effect on July 22. The tariff action is the first under the Trump administration's new tariff strategy after the Supreme Court struck down prior impositions.
The tariffs include exemptions for key consumer staples like coffee and beef. The decision follows a year-long investigation by Trump's top trade official Jamieson Greer under Section 301 of the Trade Act of 1974.
A senior administration official said the tariffs are in response to Brazil's unfair barriers against US technology and payment companies. The administration also accuses Brazil of restricting market access for American ethanol, inadequately protecting intellectual property, granting preferential tariff treatment to other countries, and not effectively enforcing laws against illegal deforestation, which is said to give Brazilian producers an unfair cost advantage over US firms.
The US runs a trade surplus with Brazil, but the investigation concerns specific trade barriers rather than the overall balance. The action occurs against a backdrop of a political feud between Trump and Brazilian leader Luiz Inácio Lula da Silva. Trump previously imposed separate tariffs on Brazil while explicitly criticizing the nation's treatment of former President Jair Bolsonaro.
A senior administration official said Brazilian officials have been more constructive over the past six weeks, though the two sides remain too far apart to avoid the tariffs. Negotiations between the US and Brazil are expected to continue.
Economics Correspondent · Talivio News
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