U.S. President Donald Trump has threatened to impose a 50% tariff on Brazilian exports to the United States, escalating tensions with Latin America's largest economy. This decision accompanies an investigation into alleged unfair trade practices by Brazil, potentially resulting in even higher tariffs. The new tariff rate, set for August 1, significantly exceeds the previous 10% duty imposed on April 2. As the 15th-largest trading partner of the United States, Brazil engaged in bilateral trade worth USD 92 billion in 2024, contributing to a notable U.S. trade surplus of USD 7.4 billion.
In a series of communications released on Wednesday, President Trump identified eight countries, including Brazil, subject to potential tariff hikes ranging from 20% to 30%. These proposed duties include a 20% tariff on the Philippines, 25% on Brunei and Moldova, and 30% on Algeria, Iraq, Libya, and Sri Lanka. Furthermore, Trump unveiled plans for additional tariffs on 14 other countries with rates from 25% to 40%, impacting nations such as Japan (25%), South Korea (25%), South Africa (30%), Indonesia (32%), and Thailand (36%).
