Brazilian Industrialists Take Their Fight To Washington Amid“Tarifaço” Crisis

(MENAFN- The Rio Times) Brazil's top manufacturers flew to Washington this week to ask U.S. officials to soften the steep 50 percent tariffs slapped on their exports.

Led by the Confederation of National Industry (CNI ), about 130 Brazilian executives teamed with 50 U.S. counterparts to argue that these duties-imposed by President Donald Trump amid broader political tensions-threaten both economies.
Why It Matters

• In 2024, Brazil sold over USD 20 billion in goods to the U.S.-from airplanes and machinery to pulp, steel and orange juice.
  
• American factories rely on Brazilian materials; high duties drive up U.S. production costs.
  
• Brazilian exporters employ millions of workers; continued tariffs risk layoffs and lower growth.
  

Their Ask
1. Rollback or cut the 50 percent levy.
2. Expand the list of duty-exempt products.
3. Set up a regular, technical dialogue-free from political pressure.
The Backstory
Trump's tariffs respond, in part, to Brazilian legal actions against his allies, including ex-President Jair Bolsonaro. The U.S. also labeled Brazil an“extraordinary threat” to national security, a tag previously reserved for Cuba and Iran.



To soften the blow at home, President Lula's government unveiled a“Sovereign Brazil” plan: R$ 30 billion in export credits, new low-rate financing and tax relief-especially for small and medium exporters who keep workers on the payroll.

U.S. trade officials have signaled openness to review the data but have made no firm commitments. For industries from São Paulo to Minnesota, the stakes are clear: will politics override economics, or can two trading partners restore a rules-based relationship that benefits both?

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