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U.S. slaps 25% tariff on Brazilian goods over unfair trade practices

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The United States has imposed a 25% tariff on most imports from Brazil starting next week, concluding a year-long investigation into what Washington calls unfair trade practices and reigniting tensions with the Latin American country after talks collapsed.

Transaction carried out pursuant to Article 301 of the Commercial Code of 1974, Targets Brazilian appsX, orders directing American tech firms including Meta and Google to remove certain political content and suspend accounts belonging to U.S. residents, preferential tariffs for Mexico and India, weak intellectual property enforcement and ethanol market barriers.

The 25 percent tax, which will come into effect on July 22, will apply to most imports from Brazil, except for exemptions for certain goods such as beef, orange juice, aircraft and parts, and energy products.

Brazil’s Ministry of Commerce did not immediately respond to CNBC’s request for comment.

The new tariffs come after the Supreme Court in February struck down President Donald Trump’s previous 50% tariff on Brazilian goods, leaving only a 10% global tariff in place. Trump has sought to reinstate his tariff authority by initiating Section 301 investigations, which allow him to impose tariffs on countries found to engage in unfair trade practices without additional authorization from Congress.

The US trade representative’s office said in a statement that the extra tariffs were necessary to ensure a level playing field for American workers and companies.

One to mail Shortly after the official announcement, Secretary of State Marco Rubio said in

tracked movement months long engagementThat includes multiple high-level meetings between Brazilian officials and USTR representatives in recent weeks.

Lula’s visit to Brazil last month not accepting treatment the country had received, citing Trump’s offer of 25% extra tariffs at the time.

A separate US investigation into the practice of forced labor could see: 12.5% ​​additional tax There is a rate of over 25% for Brazilian goods and the decision will be made next week.

The dispute also spread to Brazil Presidential election to be held in October. Lula accused Senator Flavio Bolsonaro of helping trigger the tariffs after his visit to Washington, but the senator denied this and said he planned to persuade the Trump administration to do so. delay tariff implementation until after the election.

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