Trump Slaps 50% Tariff on Brazil Amid Bolsonaro Trial Tensions

10th July 2025 at 8:34 AM

1 minute read

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Washington – U.S. President Donald Trump announced on Wednesday a 50% tariff on all Brazilian imports, effective August 1, citing the South American nation’s handling of former President Jair Bolsonaro’s trial as a key factor. In a letter posted on Truth Social, Trump accused Brazil of conducting a “witch hunt” against Bolsonaro, who faces charges related to an alleged coup attempt following his 2022 election defeat to President Luiz Inácio Lula da Silva.

The tariff decision, which Trump linked to Brazil’s prosecution of Bolsonaro, marks a departure from his standard trade policy communications. Unlike previous tariff announcements focused on economic imbalances, this move explicitly references Brazil’s domestic judicial proceedings. Trump also criticized Brazil for what he described as attacks on free elections and U.S. free speech rights, alleging that the Brazilian Supreme Court issued “secret and unlawful” censorship orders targeting American social media platforms.

Brazilian President Lula responded swiftly, condemning the tariffs as an unacceptable interference in Brazil’s sovereignty. In a statement, Lula declared that Brazil would not tolerate external pressure on its independent institutions and vowed to retaliate with reciprocal trade measures. The Brazilian real weakened following the announcement, signaling potential economic repercussions.

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The U.S. is a significant market for Brazilian exports, including crude oil, coffee, and steel products, while Brazil imports commercial aircraft, petroleum, and semiconductors from the U.S. The tariff, described by Trump as a response to both political and trade grievances, could disrupt bilateral trade relations. Reuters reported that Trump also ordered a “Section 301” investigation into Brazil’s digital trade practices, which may lead to additional tariffs.

This latest escalation follows a series of tariff letters Trump sent to other nations, including Japan and South Korea, as part of his broader trade strategy. The move has heightened tensions between the U.S. and Brazil, with analysts warning of potential disruptions to global supply chains.