Trump Tariffs Trigger Sharp Decline In Brazil’s Exports To US

Brazil’s exports to the United States tumbled 18.5 percent year-on-year in August, hit hard by the 50 percent tariffs imposed by former U.S. president Donald Trump, according to official data released Thursday.

On August 6, Trump placed a wide range of Brazilian goods under his highest tariff category, citing what he described as Brazil’s “witch hunt” against his ally, ex-president Jair Bolsonaro. Bolsonaro is currently on trial for alleged coup plotting to block President Luiz Inácio Lula da Silva from taking office after his October 2022 election victory. A verdict is expected next week.

Commerce ministry figures show Brazilian exports to the U.S. stood at \$2.76 billion in August, down from \$3.39 billion a year earlier. Despite the drop, Brazil’s overall exports edged up slightly thanks to higher shipments to China, Argentina, and Mexico.

Trump has long targeted countries with large trade surpluses against the United States. Yet Brazil has consistently run a trade deficit with Washington for the past 16 years, which in August amounted to \$1.23 billion.

The hardest-hit Brazilian exports last month included sugar, which plunged 88.4 percent, and fresh beef, down 46.2 percent. About 700 products remain exempt from the tariffs.