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Friday, 17th July 2026
U.S. Imposes New 25% Tariff on Brazilian Imports, Exempts Key Products
17 July 2026 23:07 PM
NEWS DESK
The United States has imposed a new 25% import tariff on a wide range of Brazilian goods while exempting several key products, including beef, coffee, rare minerals, energy products, aircraft, and aircraft parts. The move was announced on Thursday by the Office of the U.S. Trade Representative (USTR) as part of the Trump administration's latest trade strategy.
According to the USTR, the new tariffs will take effect on July 22. Thousands of Brazilian products—including furniture, ethanol, machinery, footwear, sugar, agricultural equipment, clothing, electrical goods, and paper products—will be subject to the additional duties.
However, several strategically important exports have been excluded from the tariff measures. These include beef, coffee, rare minerals, energy products, aircraft and aircraft components, pig iron, steel scrap, organic honey, and unflavored instant coffee.
The tariffs mark the first major trade action under the Trump administration's new policy framework and were introduced under Section 301 of the U.S. Trade Act of 1974. Washington alleges that Brazil has engaged in unfair trade practices involving digital commerce, illegal deforestation, and certain commercial policies.
U.S. Trade Representative Jamieson Greer said that despite extensive discussions with Brazil over the past year, the concerns identified during the investigation remain unresolved. He added that the United States remains open to further negotiations.
Brazilian President Luiz Inácio Lula da Silva condemned the decision, calling the tariffs unjustified. He said Brazil would respond under the country's "Reciprocity Law" and pursue legal action through the World Trade Organization (WTO) dispute settlement system.
Meanwhile, U.S. Secretary of State Marco Rubio accused Lula's government of failing to negotiate with Washington in good faith. In a post on X, Rubio said Lula had prioritized "his own ego over the well-being of the Brazilian people," adding that the new tariffs were the consequence of that approach.
Brazilian Foreign Minister Mauro Vieira strongly criticized Rubio's remarks, describing them as rude and arrogant toward the leader of a friendly nation. He said Brazil had consistently sought a negotiated solution to the trade dispute.
According to Brazil's Ministry of Development, Industry, Trade and Services, the new tariffs will affect approximately 18% of the country's exports to the United States, valued at around $7 billion. The industries expected to face the greatest impact include wood products, machinery, furniture, and footwear.
Reuters also reported that a separate Section 301 investigation into Brazil is scheduled to conclude on July 24. Depending on the outcome, the United States could impose an additional 12.5% tariff, raising the total duty on affected Brazilian goods to 37.5%.
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