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Trump Brazil Tariff Fight

The U.S. imposed 25% tariffs on Brazilian goods, and Brazil vowed reciprocal action.

July 16, 2026 · Updated Jul 16, 4:13pm ET

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What happened

The United States announced a new 25% Section 301 tariff on most Brazilian imports, set to take effect July 22, after a USTR investigation into Brazil’s trade practices. The investigation cited Brazil’s treatment of U.S. technology companies and ethanol products, as well as illegal deforestation alleged to harm U.S. industry. Brazil’s government rejected the measure as unjustified and politically motivated, with President Luiz Inácio Lula da Silva’s office calling it a “lamentable milestone.” Brazil said it plans reciprocal tariffs on U.S. products, and its top diplomat criticized Secretary of State Marco Rubio over the move.

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