U.S. President Donald Trump has announced a 50% tariff on most Brazilian imports in response to what he calls a “witch hunt” against former President Jair Bolsonaro. The move, one of the steepest tariffs in recent U.S. trade policy, coincides with sanctions targeting Brazilian Supreme Court Justice Alexandre de Moraes, who oversees Bolsonaro’s coup-plot trial.
The tariffs, effective August 6, exclude major sectors such as civil aircraft, energy, pig iron, wood pulp, and fertilizers—an exemption likely aimed at protecting U.S. companies reliant on these imports. Embraer and Suzano, two major Brazilian exporters, saw their shares rise following the announcement as their industries were shielded from the steepest duties.
Brazil’s government, led by President Luiz Inácio Lula da Silva, expressed relief but stressed the impact remains significant, particularly for beef and coffee exporters. The American Chamber of Commerce for Brazil reported that 43.4% of Brazilian exports to the U.S. by value were exempted, covering roughly 700 products. However, key sectors like beef and coffee face severe losses, with Brazil’s beef industry estimating $1 billion in damages for the second half of 2025.
Diplomatic tensions have escalated, with Brazilian Foreign Minister Mauro Vieira meeting U.S. Secretary of State Marco Rubio to seek tariff negotiations, though he ruled out linking Bolsonaro’s legal troubles to trade talks. Analysts argue the exemptions reflect effective Brazilian lobbying while critics in the U.S. label the tariffs politically motivated and harmful to consumers, warning of higher coffee prices and broader trade disruptions.
The tariffs underscore rising geopolitical friction as Trump uses economic measures to influence foreign legal proceedings, reshaping U.S.-Brazil relations amid ongoing political and trade volatility.


U.S. and Mexico Reach New Agreement to Tackle Tijuana River Sewage Crisis
Zelenskiy Signals Willingness to Drop NATO Bid as Ukraine, U.S. Hold Crucial Peace Talks in Berlin
Japan Business Sentiment Hits Four-Year High, Boosting Expectations of BOJ Rate Hike
Oil Prices Rebound as U.S.-Venezuela Tensions Offset Oversupply Concerns
European Leaders Tie Ukraine Territorial Decisions to Strong Security Guarantees
Thousands Protest in Brazil Against Efforts to Reduce Jair Bolsonaro’s Prison Sentence
Trump Weighs Reclassifying Marijuana as Schedule III, Potentially Transforming U.S. Cannabis Industry
U.S. Stock Futures Mixed as Tech and AI Stocks Face Pressure Ahead of CPI Data
Asian Currencies Trade Sideways as Dollar Weakens Ahead of Key U.S. Data
Taiwan Political Standoff Deepens as President Lai Urges Parliament to Withdraw Disputed Laws
European Leaders Launch International Claims Commission to Compensate Ukraine for War Damage
U.S. Offers NATO-Style Security Guarantees to Ukraine as Peace Talks Show Progress
Korea Zinc Plans $6.78 Billion U.S. Smelter Investment With Government Partnership
International Outcry Grows Over Re-Arrest of Nobel Laureate Narges Mohammadi in Iran
Dollar Struggles as Markets Eye Key Central Bank Decisions and Global Rate Outlooks
Oil Prices Slip in Asia as 2026 Supply Glut Fears and Russia-Ukraine Talks Weigh on Markets 



