This Wednesday (15th) is the deadline for the Office of the United States Trade Representative to publish the final decision of the commercial investigation that could result in the application of tariffs of 25% and 12.5% on Brazilian products.
On the eve of the announcement, the Brazilian government held the fifth high-level meeting with representatives from the United States since May 7. In a press release, Planalto said it had reiterated that the measure is “unfair” and maintained its defense of a negotiated solution. The government also attributes the escalation of the crisis to the coordination of former federal deputy Eduardo Bolsonaro with the US government.
“At today’s meeting, the unfair nature of the application of the recommendations already announced was reiterated, whether resulting from Section 301 specific to Brazil, of 25% surcharges, or the 12.5% (Section 301 – forced labor) applicable to 59 other economies”, says the note.
The meeting included teams from the Ministry of Development, Industry, Commerce and Services, the Ministry of Foreign Affairs and the Special Advisory Office of the Presidency of the Republic with the United States Trade Representative, Jamieson Greer. According to the government, the conversations follow instructions from President Luiz Inácio Lula da Silva (PT) to maintain the dialogue until the end of the deadline established by the United States.
Commercial investigation
The investigation was conducted under Section 301 of the United States Trade Law. Donald Trump’s government proposed a 25% tariff when stating that policies adopted by Brazil restrict or burden American companies. Among the points mentioned are Pix, decisions on digital platforms, commercial agreements signed by Brazil, the ethanol market, intellectual property, combating corruption and environmental inspection.
In another investigation, the United States also proposed a 12.5% tariff on the grounds that Brazil does not adopt sufficient measures to prevent the circulation of products produced with forced labor. In the Brazilian government’s assessment, the two measures can be applied cumulatively.
The Brazilian government responded to the investigation by contesting all arguments presented by the United States and continued negotiations through diplomatic and technical channels. Itamaraty stated that there is no proof that Brazilian policies harm US companies or create trade barriers.
He also maintained that Pix is a public infrastructure available to national and foreign companies, that decisions on digital platforms follow Brazilian legislation and that commercial agreements signed by the country respect international standards. The government also stated that it has inspection mechanisms against work similar to slavery and refuted criticisms regarding the fight against corruption, environmental inspection and intellectual property.
In addition to the defense presented to the US government, Brazil articulated support from companies and entities in both countries. According to the government, US companies that depend on Brazilian products defended the removal of items from the surcharge list and warned that the measure would increase costs for US companies and consumers.
Before the final decision, the US government promoted a public consultation with registrations until June 22nd, receipt of written statements until July 1st and hearings held on July 6th and 7th. Representatives from industry, agribusiness and other Brazilian sectors participated in the hearings to argue that the application of tariffs would increase costs for companies and consumers in both countries and would harm integrated production chains between Brazil and the United States.
Entities such as the National Confederation of Industry, the Federation of Industries of the State of São Paulo, the Brazilian Association of the Machinery and Equipment Industry, the Confederation of Agriculture and Livestock of Brazil and representatives of the coffee, honey, fish and pig iron sectors defended the continuity of negotiations and took a stand against the creation of new trade barriers.
Bolsonaro family articulation
Senator Flávio Bolsonaro (PL-RJ), who is also a pre-candidate for President in this year’s elections, participated in the hearing on his own initiative and without representing the Brazilian government. In his speech, he stated that the application of tariffs would be “the worst possible moment” and that the measure would benefit President Lula in the electoral race. Subsequently, he sent a letter to the Office of the United States Trade Representative requesting the postponement of the 25% tariff for 180 days and arguing that the measure be applied only after the elections.
President Lula stated that the origin of the crisis lies in the Bolsonaro family’s actions with the United States government. According to the president, “the most absurd thing is knowing that the origin of all this was motivated by the Bolsonaro family itself, which publicly defended the increase in tariffs against Brazilian products”.
Lula also stated that there is no justification for postponing the measure “now or later” and classified the Bolsonaro family’s actions as “surrenderism”. “Our Homeland is not for sale. Our sovereignty is non-negotiable. Brazil belongs to Brazilians”, he wrote on his profile on X, formerly Twitter.
Two months before the hearing promoted by the US, former deputy Eduardo Bolsonaro publicly defended the economic measures against Brazil. In July 2025, he stated that the surcharge announced by President Donald Trump was part of a set of “levers” that could be used to pressure Brazilian authorities.
On the occasion, Eduardo cited instruments such as the Magnitsky Law, the freezing of assets, the cancellation of visas and restrictions on the financial system. It also conditioned the end of the tariffs on the approval of amnesty for those convicted of the acts of January 8th.
“FREE Congress approves a BROAD, GENERAL AND UNRESTRICTED amnesty. It would be an excellent sign of moderation, of those who are mature and want to sit down and take advantage of the opportunity to dialogue with the greatest economic power in the world”, he wrote on his Twitter profile, formerly “Release the political prisoners (broad, general and unrestricted amnesty), and this will begin to end. Simple,” he wrote.
In the same period, Eduardo intensified contacts with members of the American government. In interviews given in Washington, he stated that he sought to increase pressure on Brazilian authorities and defended new sanctions against members of the Federal Supreme Court (STF) and other authorities. He also declared that he was willing to go to “the ultimate consequences” to remove minister Alexandre de Moraes from power, in an interview with BBC News.
Eduardo was sentenced by the STF to four years and two months in prison for coercion during the coup plot process. Among the facts discovered is his work with US authorities to encourage sanctions against Brazil. The ministers understood that it was proven that he acted to interfere in the trial of the criminal case in which his father, former president Jair Bolsonaro, was convicted of an attempted coup d’état.
Source: www.brasildefato.com.br
