Brazil and U.S. Schedule Technical Talks to Address New Tariffs

Overview

• Brazil’s MDIC minister Márcio Elias Rosa and U.S. Trade Representative Jamieson Greer will meet virtually on Monday, Aug. 31, at 14:30 Brasília time to begin a new round of technical negotiations.
• The Brazilian government says its immediate goal is to expand the list of products exempted from the U.S. measures and to press later for reversal of the tariffs.
• The United States imposed two additional tariffs this year—a 25% levy followed by 12.5%—bringing some lines to a 37.5% rate and hitting sectors such as footwear, machinery and sugar.
• Brazil has notified the U.S. that it is invoking the Economic Reciprocity Law and has requested diplomatic consultations after more than 30 contacts between officials and a recent phone call between Presidents Luiz Inácio Lula da Silva and Donald Trump.
• The dispute affects thousands of exporters and could reshape trade ties depending on whether the technical talks expand exemptions or lead to negotiated rollbacks, so the scope of the August 31 talks and any new exception lists will be the key next developments to watch.