Government meets with sectors to assess the impact of the new US tariff The federal government is still evaluating what measures it will adopt in response to the new tariffs announced by the United States on Brazilian products, which come into effect this Wednesday (22). The decision was confirmed by the American government last week. ?? The 25% tariff on Brazilian products is the result of a trade investigation by the US Office of Trade (USTR), the body responsible for formulating North American trade policy. The investigation took a year, based on Section 301 of the 1974 Trade Act, a mechanism that allows the American government to investigate and combat possible trade barriers in other countries. Throughout the process, representatives of the Brazilian government and sectors of the economy participated in meetings and hearings with members of the North American government and presented arguments against the adoption of the surcharges. The investigation analyzed topics such as the PIX payment system, rules for digital platforms and other Brazilian policies highlighted by the United States as possible restrictions on trade (see below). Shortly after the tariffs were announced, the Brazilian government released a note in which it called the decision a "regrettable milestone" in the relationship between Brazil and the United States and stated that it will begin the procedures to activate the Reciprocity Law, approved by the National Congress, together with the World Trade Organization (WTO). ?The Reciprocity Law is a mechanism that allows a country to apply the same measures, restrictions or tariffs to another nation that it suffered from it. In practice, if a foreign government imposes "unfair" unilateral sanctions or barriers, Brazil uses the norm to react in kind, adopting equivalent restrictions to rebalance relations and protect the economy. The measure has been defended by President Luiz Inácio Lula da Silva (PT) since the United States announced the first tariffs, last year. Last week, one day after the United States confirmed the tariff, Vice President of the Republic Geraldo Alckmin stated that the Brazilian government is considering using the Reciprocity Law and that "at the appropriate time, it will know how to implement it." "It should be noted that we have a law that is the Reciprocity Law, unanimously approved in the National Congress and that the government, at the appropriate time, will know how to implement it", he stated. "The law is not retaliatory. There is no retaliation. There is a law that defends the national interest, the interest of Brazilians, of the Brazilian economy", added the vice president. Furthermore, the vice president stated that the government will have a program to help companies affected by the new tax. However, no measures have yet been officially announced. The Brazilian government has held meetings with the sectors affected by the new tariff to identify the main demands of each segment and define support measures. After the meetings, however, some sectors stated that they were against reciprocity and defended the expansion of the Brasil Soberano plan, a credit program for companies affected by the tariff. In August 2025, Amazonas recorded a turnover of US$ 1.41 billion in the Trade Chain. Of the total, exports totaled US$86.3 million and imports US$1.32 billion. Bruno Leão/Sedecti Negociações When confirming the new tariff, the United States stated that the Trump administration tried to negotiate with Brazil over the last year, but was unsuccessful in overturning practices it considers unfair. According to a survey by Brazilian diplomacy, more than 30 contacts have been made since the announcement of the original tariff. Conversations took place by telephone, videoconference and in-person meetings, at presidential, ministerial and technical levels. In addition, government representatives spoke with US Secretary of State Marco Rubio and US Trade Representative Jamieson Greer on at least 11 occasions. Members of the Brazilian government state that three themes concentrated the main impasses in the negotiations: the PIX, the expansion of access for American ethanol to the Brazilian market and a proposal for a four-year moratorium to exempt digital platforms from paying taxes and fines. Lula government interlocutors stated that these points presented by the Americans are considered non-negotiable by Brazil. The assessment of government members is also that the application of the new tariff is a political decision. American authorities, in turn, deny that the reprisal is being used for this purpose. The American government says it only seeks to reverse trade practices that harm US competitiveness. The government claims that, in all cases, the initiative to open dialogue came from the Brazilian side, in an attempt to negotiate a way out of the trade impasse. The information is presented in response to criticism that Brazil had failed to seek negotiation with the United States government before adopting the tariff measures. The perception is that the scenario was favorable for negotiations after the meeting between Lula and Trump in Malaysia and even better after the meeting between the two in Washington. However, the scenario changed after the visit of senator and presidential candidate Flávio Bolsonaro (PL) to the USA. ?? Marco Rubio maintains relations with the family of former president Jair Bolsonaro (PL). The rapprochement began in 2018 and, last month, Rubio welcomed Bolsonaro's children to the USA. READ ALSO: 'Frustrated Latin American' Enter
Trump tariff: government is still studying how to react to the taxation that starts this Wednesday
Government meets with sectors to assess the impact of the new US tariff The federal government is still evaluating what measures it will adopt in response to the new tariffs announced by the United States on Brazilian...
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