The President of the United States, Donald Trump, imposed a 50% tariff on all Brazilian exports to his country this Wednesday, a measure that he described as a response to the trial facing former President Jair Bolsonaro before the Federal Supreme Court (STF) of Brazil.
The rate will take effect on August 1st. Trump announced the decision in a letter sent to President Luiz Inácio Lula da Silva, whom he accused of allowing an "international disgrace" by prosecuting Bolsonaro.
Trump assures that the former liberal president of Brazil is a "highly respected leader worldwide." The Republican also noted that the measure is a response to "insidious attacks from Brazil against free elections and the freedom of expression of Americans," citing alleged censorship orders from the STF to U.S. digital platforms.
In the letter, Trump stated that the trade relationship with Brazil has been "far from reciprocal" and justified the new tariff as a way to correct an "unsustainable trade deficit" that, according to him, threatens the national security of his country.
However, data from the Brazilian government itself, cited by Globo, shows that since 2009, the trade deficit has consistently favored the United States, with an accumulated balance exceeding 90 billion dollars.
Lula responded immediately and vigorously. He stated that "Brazil is a sovereign country with independent institutions" and that he will not accept "being overseen by anyone."
The Brazilian president stated that any unilateral measure will be responded to in accordance with Brazilian Economic Reciprocity Law. "The judicial process against those responsible for the attempted coup on January 8, 2023, is the exclusive authority of the Brazilian judiciary," he added.
The Brazilian government also returned Trump's letter through a meeting with representatives from the U.S. embassy in Brasília. According to diplomatic sources, the letter was deemed "offensive" and "unacceptable."
In addition to the tariff, Trump ordered an investigation under Section 301 of the Trade Act of 1974, alleging unfair trade practices by Brazil, particularly in the digital realm. Analysts view the measure as a geopolitical strategy by the Republican to exert pressure and increase his international influence.
The tension arises in a context where Trump also threatened to impose a 10% tariff on all member countries of the BRICS group, to which Brazil belongs, accusing them of trying to replace the dollar as the global currency.
So far, Brazil has not announced a specific retaliation, but Lula insisted that he will defend the sovereignty and interests of the Brazilian people against any attempt at interference.
Between July 6 and 8, Rio de Janeiro hosted the most recent BRICS summit. Miguel Díaz-Canel was one of the leaders who participated in the event and called on the member countries to join forces against the United States to promote a new international order.
Frequently Asked Questions about Trump's Tariffs on Brazil and the Diplomatic Tension with Lula
Why did Donald Trump impose a 50% tariff on Brazil?
Trump imposed a 50% tariff on Brazil in response to the trial facing former president Jair Bolsonaro before the Federal Supreme Court (STF) of Brazil. Trump considers the trial to be an "international disgrace" and accuses President Luiz Inácio Lula da Silva of allowing it. He also mentions an "unsustainable trade deficit" with Brazil as justification, although data shows that the deficit benefits the United States.
How has President Lula responded to the tariff imposed by Trump?
Lula responded emphatically, stating that "Brazil is a sovereign country with independent institutions" and that he will not accept "being overseen by anyone." He also affirmed that any unilateral actions will be met with responses according to Brazilian Economic Reciprocity Law.
What is the international context of Trump's tariff measures?
The imposition of tariffs on Brazil is part of a series of protectionist measures adopted by Trump against various countries, including members of the European Union and China. Trump has used tariffs as a tool to pressure and obtain trade and political concessions, accusing these countries of unfair trade practices and monetary manipulations.
What impact could this tariff have on the trade relationship between Brazil and the United States?
The 50% tariff could significantly impact Brazilian exports to the United States, making their products more expensive in the U.S. market and reducing their competitiveness. It could also lead to trade retaliation from Brazil, further straining diplomatic and commercial relations between the two countries.
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