Fri Aug 29 16:41:39 UTC 2025: **Summary:**
Brazil is considering retaliatory trade measures against the United States, including tariffs, after the U.S. imposed 50% levies on Brazilian imports. President Lula da Silva has authorized a study to determine possible retaliatory actions in response to the tariffs, which Trump justified based on the trial of Jair Bolsonaro. The Ministry of Trade and Industry has 30 days to assess if the U.S. tariffs violate the Economic Reciprocity Law, potentially leading to countermeasures. Brazil has also sought assistance from the World Trade Organization to resolve the dispute.
**News Article:**
**Brazil Mulls Retaliatory Tariffs Against U.S. Amid Trade Spat**
**Brasília, Brazil – August 29, 2025** – Tensions between Brazil and the United States are escalating as the Brazilian government considers retaliatory trade measures in response to President Donald Trump’s recent imposition of 50% tariffs on a range of Brazilian imports.
President Luiz Inacio Lula da Silva has authorized a study to explore potential countermeasures, including reciprocal tariffs, following Trump’s decision, which he attributed to the ongoing trial of his ally, Jair Bolsonaro, on coup-plotting charges.
According to government sources, the Ministry of Trade and Industry has been given 30 days to determine whether the U.S. tariffs violate Brazil’s Economic Reciprocity Law, enacted in April. This law allows Brazil to take action against countries that unilaterally harm its competitiveness, potentially including the suspension of trade concessions, investments, or intellectual property agreements.
“The space for diplomatic consultations remains open,” a government source stated, emphasizing that any measures would be a last resort if negotiations fail.
The dispute stems from the 50% tariffs on Brazilian coffee and other goods, which took effect on August 6th. President Lula expressed frustration that Washington has been unresponsive to Brazil’s concerns.
While the U.S. typically targets countries with trade surpluses, Brazil imports significantly more from the U.S. than it exports, with a $28.6 billion trade surplus in favor of the U.S. in 2024.
Earlier this month, Brazil also turned to the World Trade Organization (WTO) in an effort to resolve the growing trade dispute.
The Brazilian government is expected to formally notify the United States of its decision to examine potential retaliatory measures on Friday. The situation is being closely watched, as the outcome could have significant implications for trade relations between the two nations.
First Piper 