Brazil Condemns U.S. Trade Measures and Signals Possible Retaliation


Brazil Condemns U.S. Trade Measures and Signals Possible Retaliation

Brasília, Brazil – June 2, 2026

The Brazilian government has sharply criticized recent trade actions announced by the United States, describing them as politically motivated and warning that it may adopt reciprocal measures if new tariffs on Brazilian products are implemented.

In an official statement released by the Presidential Palace (Palácio do Planalto), President Luiz Inácio Lula da Silva's administration expressed concern over the preliminary conclusions of a U.S. investigation that could lead to a 25% tariff on a range of Brazilian exports.

According to the White House, the investigation reviewed trade practices involving Brazil and recommended additional tariffs on selected products. Some sectors, including beef, orange exports and aircraft manufactured by Embraer, were reportedly included in a list of exceptions.

Brazil Calls Measures Politically Motivated

The Brazilian government argued that the proposed tariffs are linked to political disputes rather than economic concerns and characterized the move as interference in domestic Brazilian affairs.

Officials also criticized members of the Bolsonaro family, alleging that their actions and contacts with U.S. authorities contributed to the opening of the investigation in July 2025.

In the statement, the government claimed that ongoing diplomatic efforts between Brasília and Washington had been undermined by what it described as "electoral and family interests."

Negotiations Continue

Despite the strong language, Brazilian diplomats reportedly believe there is still room for negotiations before any final decision is made by U.S. authorities.

The government emphasized that it will not negotiate strategic national interests, including issues involving Brazil's PIX instant payment system or the country's rare earth resources.

Officials stated that discussions between both governments remain active following agreements reached during a meeting between Presidents Luiz Inácio Lula da Silva and Donald Trump in Washington on May 7.

Economic Arguments Presented by Brazil

Brazilian authorities highlighted trade data showing that the United States accumulated a surplus of approximately US$424.5 billion in goods and services trade with Brazil between 2011 and 2025.

According to the government, in 2025 nearly 76% of imports from the United States entered Brazil without import duties. Several major imported products, including oil and petroleum derivatives, aircraft, natural gas and coal, faced zero effective tariffs.

The average tariff effectively applied to American products imported into Brazil was approximately 3.1%, according to official figures cited by the government.

Potential Impact on Trade

Brazilian officials warned that new tariffs could negatively affect employment, income generation and economic activity in both countries.

The government also noted that the United States' share of Brazilian exports fell to 9.4% during the first quarter of 2026, the lowest level recorded in the historical series.

Possible Retaliation

While expressing hope that the proposed recommendations will not become final tariffs, the Brazilian government stated that it reserves the right to use legal mechanisms available under Brazil's Reciprocity Law.

The legislation, approved unanimously by Brazil's National Congress, allows the country to respond to trade measures considered unfair or inconsistent with international trade rules.

Brazilian authorities reiterated that they will continue diplomatic dialogue while preparing measures to protect the country's economy, jobs and national interests if necessary.

The statement concluded with a call for national unity and the defense of Brazilian sovereignty amid growing trade tensions between Brasília and Washington.

Source: Adapted from reports published in Brazil on June 2, 2026.

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