The Brazilian president responded to his American pair, which imposed an increase in tariffs, mainly for political reasons.
The president of Brazil, Lula da Silva, He said Thursday that he is willing to negotiate with the US, but warned that he will impose retaliation tariffs if his counterpart Donald Trump meets his promise of increasing import taxes by 50% due to the criminal trial in their predecessor, Jair Bolsonaro.
Lula said he will activate the Brazilian reciprocity law, approved by Congress earlier this year, if negotiations with the United States fail. “If there is no negotiation, the reciprocity law will be launched. If he charges us 50% (of tariffs), we will charge them 50%“Lula said in an interview.
In the case of Brazil, Trump is trying to dictate the result of Bolsonaro’s criminal trial, an ally who, like the Republican, has been accused of trying to reverse the results of a presidential election. Bolsonaro argues that he is being politically persecuted by the Supreme Federal Court of Brazil due to his positions on the alleged plot to remain in power after his 2022 electoral defeat before Lula.
Lula ordered his diplomats on Thursday to return Trump’s letter if he physically arrives at the Presidential Palace in Brasilia. The document attacks the Judicial Branch of the country and mentions recent failures on social media companies among the reasons why the assets of the South American nation will have higher tariffs from August 1.
In Brazil they argue that Donald Trump seeks to dismantle the BRICS
Trump has imposed its tariffs under the International Emergency Emergency Powers Law of 1977 and in April he pointed out that the persistent deficit between what the United States exports and imports is a national crisis. But The United States has a commercial surplus with Brazil, which undermines part of the justification.
Some members of the Lula government say that Trump’s movement is actually Aimed at Brazil’s connection with other South economies, as shown on Sunday at the BRICS Nations Summit held in Rio de Janeiro. Lula once again expressed hope that there is an alternative currency to the dollar for transactions, an issue that frequently causes Trump’s anger.
“Trump was never worried about democracy anywhere, much less with Bolsonaro’s fate,” said Gleisi Hoffmann, Minister of Institutional Relations of Brazil. “What fears is the strengthening of the commercial and financial relations of the Global South, which Brazil is helping to build in the BRICS block and in other forums. We will not be Haras of Trump.”
Trump’s interference in Brazilian affairs has brought a sense of unity that was largely absent in a politically divided nation. Some of Bolsonaro’s allies said that Lula had caused the anger of the US president with other decisions, including criticism of the Israel War in the Gaza Strip. But other supporters of the former president chose to ask for prudence in the negotiations.
Source: Ambito
