The Brazilian government, led by President Luiz Inacio Lula da Silva, has requested consultations with the World Trade Organization (WTO) to address the significant tariffs imposed on Brazilian exports by the United States. This move comes as part of an effort to seek relief from the 50 percent tariff that was introduced by former U.S. President Donald Trump.
According to sources within the Brazilian government, who spoke to news agencies such as AFP and The Associated Press under conditions of anonymity, the request for consultations was made on Wednesday. The consultation process is typically the first step in resolving trade disputes through the WTO, which serves as an international mediator in economic conflicts.
The 50 percent tariff, the highest imposed by Trump on any country during August, took effect on Wednesday. India is also expected to face similar tariffs later this month unless a resolution is reached. The WTO’s procedures for settling disputes are often time-consuming and may not always lead to immediate results.
Brazilian Vice President Geraldo Alckmin estimated that 35.9 percent of Brazil’s exports to the U.S. will be affected by these tariffs, representing approximately 4 percent of Brazil’s total global exports. The tariff was announced by Trump on July 9 in a letter addressed to Lula and published online.
In the letter, Trump criticized the Brazilian government for prosecuting Jair Bolsonaro, a former far-right president and an ally of the U.S., over allegations of involvement in a coup attempt. Trump described the treatment of Bolsonaro as an “international disgrace” and accused the Brazilian government of conducting a “witch hunt” against him.
Bolsonaro had previously cast doubt on the results of the 2022 presidential election, which he lost to Lula. Prosecutors allege that Bolsonaro conspired with associates to overturn the election results. One potential plan involved declaring a “state of siege” to mobilize the military and suspend civil rights, followed by a new election. Another idea reportedly discussed among his allies was to poison Lula.
Despite these allegations, Trump defended Bolsonaro, calling the prosecution politically motivated. He also issued an executive order on July 30, accusing Brazil of “politically persecuting” Bolsonaro and of committing “human rights abuses,” including suppressing free speech through efforts to combat disinformation on social media.
The executive order included an annex specifying certain products that would not be subject to the new tariffs, such as nuts, orange juice, coal, iron, tin, and petroleum products. Lula has criticized Trump for obstructing trade negotiations between the two countries, stating that he believes Trump is not ready to engage in dialogue.
Lula has expressed concerns about U.S. interference in Brazil and Latin America, referencing past interventions such as the 1964 coup that led to a military dictatorship. He emphasized that the current situation represents a challenge to Brazil’s sovereignty and called for reforms to strengthen the local economy through mineral extraction policies.
In response to the U.S. tariffs, Lula has sought support from the BRICS economic bloc, which includes Brazil, Russia, India, China, and South Africa. However, Trump has warned that any BRICS-affiliated country could face an additional 10 percent tariff.
Since the announcement of the tariffs, Lula has been actively engaging with English-language media, including a recent interview with The New York Times. When asked about the impact of the tariffs, he expressed a pragmatic stance, stating, “I’m not going to cry over spilled milk.” He indicated that Brazil would seek alternative markets if the U.S. refuses to purchase its goods.
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