U.S. Imposes Tariffs on Brazil Over Trade Practices

The Trump administration has decided to implement a 25% tariff on Brazil, citing unfair trading practices that negatively affect American interests.

This tariff will go into effect on July 22 and is authorized under Section 301 of the Trade Act of 1974. The Office of the United States Trade Representative (USTR) has noted that products not available in the U.S. will be exempt from these tariffs.

The inquiry into Brazil’s trade practices began in 2025, following legislation from the Ford administration. Over the course of a year, investigators determined that Brazil’s digital trade policies and lax enforcement of anti-corruption measures place “unreasonable” demands on American farmers, workers, innovators, and exporters, according to a statement from USTR Jamieson Greer.

Items that will not be subject to the tariff include coffee, beef, oranges, select oil and gas products, and aerospace parts, as mentioned by Greer’s office.

The USTR did not promptly respond to inquiries from the Daily Caller News Foundation.

Greer’s statement expressed concern over multiple issues, including the punishment of U.S. tech companies for resisting political censorship, the rollback of anti-corruption initiatives, and allowing Brazilian farmers to take advantage of illegally logged land—effects which have hindered U.S. producers from accessing a crucial market of over 210 million consumers.

Brazilian President Luiz Inácio Lula da Silva, often referred to simply as Lula, criticized the move in a press release shared on X, stating, “There is no justification for unilateral measures against our country.”

In his statement, Lula pointed out that the U.S. has accumulated a surplus of $424.5 billion in goods and services with Brazil over the past 15 years, according to U.S. government statistics.

Previously, President Trump had implemented tariffs on Brazil, including a 50% tax in response to the prosecution of Jair Bolsonaro, Lula’s predecessor who he defeated in 2022. There was also a 40% tariff on Brazilian beef and coffee.

Secretary of State Marco Rubio noted in a post on X that there should be no doubts regarding the situation: “President Lula and his government have not negotiated with the U.S. in good faith. His economic policies are harmful to both Americans and Brazilians.”

Greer has emphasized that these tariffs are crucial for ensuring that American workers and companies compete fairly. Meanwhile, Lula is currently campaigning for reelection against Bolsonaro’s son, Flávio.