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Brazil Forms Trade Reciprocity Committee Ahead of Trump Tariffs as Bolsonaro Trial Advances

The first session convened to map out reciprocal duties under Brazil’s economic reciprocity law ahead of the defense phase in Jair Bolsonaro’s coup trial.

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Demonstrators wearing costumes and masks depicting former Brazilian President Jair Bolsonaro and U.S. President Donald Trump take part in a protest against U.S. President Donald Trump's announcement of 50% tariffs on Brazilian products, in Sao Paulo, Brazil July 10, 2025. REUTERS/Alexandre Meneghini/File Photo
A worker arrives at Brazil's Companhia Siderurgica Nacional (CSN, National Steel Company), in Volta Redonda, Rio de Janeiro state, Brazil, on March 25, 2025.
Former President Jair Bolsonaro poses for a selfie with a supporter upon arriving at a protest against his Supreme Court trial, in which he is accused of involvement in a 2022 coup attempt, in Sao Paulo, Sunday, June, 29, 2025. (AP Photo/Ettore Chiereguini)

Overview

  • President Lula’s decree established an interministerial committee, chaired by Vice President Geraldo Alckmin, to develop countermeasures under Brazil’s reciprocity law after Trump’s 50% tariff threat.
  • Industry and agribusiness representatives attended the committee’s inaugural meeting to identify sectors most exposed to U.S. duties set to begin August 1.
  • Prosecutor-General Paulo Gonet delivered closing arguments on July 15, urging conviction of Bolsonaro for allegedly plotting to overturn the 2022 election; the defense phase is now underway.
  • Supreme Court President Luís Roberto Barroso denounced the U.S. tariffs as stemming from a flawed understanding of Brazil’s judicial processes.
  • The U.S. Trade Representative launched a Section 301 investigation into Brazil’s trade barriers and social media regulations, underscoring rising diplomatic friction.