Tuesday, 02 January 2024 12:17 GMT

Trump And Lula's Surprise Detente At UN Faces Hard Realities


(MENAFN- The Rio Times) Trump and Lula met in New York during the UN General Assembly and immediately agreed to continue talks the following week.

Their brief backstage encounter was friendly-Trump described“excellent chemistry” and said he“liked” Lula, who returned the sentiment. The symbolism drew global attention, but both leaders face deep economic and political divides.

Earlier this year, Washington imposed sweeping 50% tariffs on nearly ten thousand Brazilian products. The U.S. also sanctioned Supreme Court members using the Global Magnitsky Act, accusing Brazil of persecuting former president Jair Bolsonaro.

Lula answered during his UN speech, strongly rejecting what he called“unilateral and arbitrary” measures and defending Brazil's judicial autonomy. He criticized U.S. interference in internal affairs and praised Brazil's sovereignty.

Financial markets reacted fast. Brazil's currency appreciated about 1% against the dollar and its main stock index hit a record after Trump 's conciliatory comments. Yet the core issues remain unresolved.



Trade between the two countries, especially in agriculture and industrial goods, stands at the center of the dispute. The Brazilian government offered its exporters R$ 40 billion in credit lines to soften the blow from U.S. tariffs.

Trump's negotiating style-personal, direct, and sometimes unpredictable-has shaped his approach to China and North Korea in the past.

Lula, a seasoned negotiator, has signaled that dialogue is possible but that Brazil will not easily yield on judicial or economic sovereignty. Neither side expects a quick resolution.

The meeting matters beyond bilateral relations. It signals that even amid sharp rhetoric and sanctions, leaders can open channels. It also highlights how power politics, rather than multilateral institutions, increasingly mediate global commerce and diplomacy.

The dynamic between Trump and Lula remains transactional-chemistry alone cannot erase structural disagreements, but it can shape the path forward.

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