Businesspeople are apprehensive about the American decision on tariffs On the eve of the deadline for the United States to decide on the application of new taxes, the Brazilian government met with representatives of the American government this Tuesday (14) and reiterated that it considers the tariffs on Brazil to be 'unfair'. It was the fifth meeting between the countries on the subject. The United States is investigating Brazil under Section 301 for alleged "unfair trade practices" and may apply new taxes to Brazilian products as a result of this investigation. The investigation focuses on: PIX, under the allegation that the system harms North American credit card companies; illegal deforestation, pointing to an alleged lack of effectiveness in inspection that results in the export of agricultural products; demands from American big techs about regulation in the sector in Brazil. According to the assessment of Brazilian negotiators involved in the conversations, it was possible to achieve progress together with the American government in the conversations. However, since May, White House representatives began to appear “inflexible”, presenting “non-negotiable” issues for Brazil, such as changes to the PIX and legislation on critical minerals. Furthermore, according to members of Brazilian diplomacy, the data presented on deforestation, for example, was disregarded, without counterproposals or indications from the Americans. About ten days ago, there was a technical meeting between negotiators from both countries, and Brazil presented a proposal for forwarding the six points raised by the USTR at the opening of the trade investigation, but received no response. Due to the deadline given by the American government, a possible postponement of the tariff came to be considered “unlikely” by the Brazilian government, even so, early this Tuesday morning, President Lula's aides began trying to contact Donald Trump's interlocutors to try a new round of negotiations. According to ministers, President Lula's order was that Brazil not leave the negotiating table or let ideology contaminate the conversations. However, the Brazilian government's assessment was that the USTR's decision to recommend the tariffs was political. The United States is Brazil's second largest trading partner. According to the government, of the 10 best-selling American products in Brazil, eight enter without tariffs. Furthermore, according to vice-president Geraldo Alckmin, the average tariff applied to the main products of American origin has an average tariff of 3%. Given this, Alckmin has said that the American tariff does not make "sense". Container ship at the Port of Santos, in São Paulo Disclosure/Copersucar Effects on the economy A survey by the National Confederation of Industry (CNI) indicates that 4,200 Brazilian products sold on the American market could be affected if the tariff is implemented. Together, these 4,200 products total US$15 billion in Brazilian exports, according to the entity. Among the products that may be affected, according to the entity, are pig iron, wooden frames and ethyl alcohol. In this context, the CNI, the American Chamber of Commerce (AmCham) and the US Chamber of Commerce sent a joint letter to ministers Mauro Vieira (Foreign Affairs) and Márcio Elias Rosa (Development, Industry and Commerce) and to American authorities, such as Jamieson Greer, asking the two countries to insist on negotiations. Read the full note from the Ministry of Development, Industry, Commerce and Services: "NOTE TO THE PRESS – 5th MEETING WITH UNITED STATES TRADE REPRESENTATIVE Today, in the late afternoon, the teams from the Ministry of Development, Industry, Commerce and Services – MDIC, the Ministry of Foreign Affairs – MRE and the Special Advisor to the President of the Republic, held the fifth high-level meeting with the United States Trade Representative, Jamieson Greer, since May 7, when the two Presidents decided to establish a working group dedicated to trade dialogue. At today's meeting, the unfair nature of the application of the recommendations already announced was reiterated, whether resulting from Section 301 specific to Brazil, of 25% surcharges, or the 12.5% (Section 301 – forced labor) applicable to 59 other economies. In compliance with President Lula's guidance, it was reiterated that the application of any surcharge appears unfair and is not the way for us to formulate a mutually adequate bilateral agreement.
On the eve of the deadline for the US to decide on new rates, Brazil holds a meeting with Americans and says that tariffs are 'unfair'
Businesspeople are apprehensive about the American decision on tariffs On the eve of the deadline for the United States to decide on the application of new taxes, the Brazilian government met with representatives of the...