- Trump announces a 50% tariff on Brazilian imports, calling the trade relationship “unfair” and “non-reciprocal.”
- Warns Brazil against retaliatory tariffs and offers to lift the tariff if Brazil opens its markets or moves production to the U.S.
- Slams BRICS as a threat to the U.S. dollar and defends former Brazilian President Bolsonaro, calling his trial a “Witch Hunt.”
President Donald Trump announced this week that the United States will impose a 50% tariff on goods imported from Brazil starting August 1. The move marks the highest tariff rate Trump has proposed so far and signals a tougher stance on what he calls “unfair” global trade deals.
“We have had years to discuss our trading relationship with Brazil, and have concluded that we must move away from the longstanding, and very unfair trade relationship engendered by Brazil’s Tariff, and non-reciprocal Tariff, Policies and Trade Barriers,” Trump said in a letter to Brazilian President Luiz Inacio Lula de Silva. “Our relationship has been, unfortunately, far from reciprocal.”
The White House has sent 21 trade letters to various countries this week, but the letter to Brazil stood out with a firmer tone—and a warning. Trump said that if Brazil responds with tariffs of its own, the U.S. will match the increase on top of the 50% already imposed.
“If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by will be added onto the 50% we charge,” he wrote.
However, Trump left the door open for negotiations. “If you wish to open your heretofore closed Trading Markets to the United States… we will, perhaps, consider an adjustment to this letter.”
The president also took aim at BRICS—calling it a threat to the U.S. dollar—and expressed support for former Brazilian President Jair Bolsonaro, calling his trial a “Witch Hunt.”