The U.S. will impose a 50% tariff on all imports from Brazil starting August 1, President Trump announced on Wednesday.
The move follows a diplomatic clash with President Lula, who accused Trump of acting like an “emperor” and vowed to retaliate.
Trump linked the tariffs to Brazil’s treatment of Jair Bolsonaro, who is on trial for allegedly plotting a coup in 2023. In a letter, Trump cited attacks on “free speech” and “free elections.”
Brazil’s real fell more than 2% and major firms like Petrobras and Embraer saw losses. Lula called the U.S. measures “false and unjustifiable,” and said Brazil would defend its sovereignty.
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