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Brazil Threatens U.S. Tariffs After Trump Meddles In Bolsonaro Trial

  • Writer: By The Financial District
    By The Financial District
  • Jul 15
  • 1 min read

Brazil and the United States escalated a diplomatic row after President Donald Trump expressed open support for coup-accused former Brazilian leader Jair Bolsonaro.


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Brazilian President Luiz Inácio Lula da Silva threatened reciprocal measures and summoned the U.S. ambassador to explain a U.S. embassy statement that referred to Bolsonaro as a victim of “political persecution.” I Photo: Anderson Riedel / PR, Palácio do Planalto Flickr


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The controversy culminated with Trump imposing a 50% tariff on Brazilian steel, one of the country's key exports, AFP’s Juan Sebastian Serrano reported.


In response, Brazilian President Luiz Inácio Lula da Silva threatened reciprocal measures and summoned the U.S. ambassador to explain a U.S. embassy statement that referred to Bolsonaro as a victim of “political persecution”—mirroring Trump’s frequent “witch hunt” rhetoric.


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The 50% tariff is separate from existing sector-specific levies, as the U.S. recently doubled duties on steel and aluminum imports. Trump announced the new tariffs would take effect August 1, citing “Brazil’s insidious attacks on Free Elections.”


He warned that any retaliation by Brazil would prompt further escalation. Brazil is the second-largest exporter of steel to the U.S. after Canada, shipping 4 million tons in 2024.


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On X (formerly Twitter), Lula responded: “Any unilateral tariff increases will be addressed in light of the Brazilian Law of Economic Reciprocity.”


Bilateral trade between the two countries totaled $41.7 billion in the first half of 2025, with Brazil exporting $20 billion in goods to the U.S. and importing $21.7 billion, according to Brazilian government data.



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