BRICS Prepares Tariff Retaliation Led by Brazil
Brazil is also exploring the possibility of filing a collective complaint at the World Trade Organization (WTO).
Quick overview
- Brazilian President Lula da Silva has ruled out immediate negotiations with U.S. President Trump following the imposition of 50% tariffs on Brazilian exports, calling it a national 'humiliation.'
- Lula criticized former President Bolsonaro for allegedly encouraging U.S. interference in Brazil, labeling him a 'traitor to the homeland.'
- Despite rising tensions, Lula plans to coordinate a joint response with BRICS nations rather than impose immediate reciprocal tariffs.
- Lula remains cautious about future negotiations with Trump, expressing concerns over Trump's treatment of other world leaders.
Brazilian President Luiz Inácio Lula da Silva ruled out any immediate negotiations with U.S. President Donald Trump following the imposition of 50% tariffs on Brazilian exports, calling the situation a national “humiliation.”
Speaking to Reuters from the presidential residence in Brasília, Lula said:
“The day my intuition tells me Trump is ready to talk, I won’t hesitate to call him. But today, my intuition says he doesn’t want to talk. And I will not humiliate myself.”
Lula described bilateral relations with the United States as “at their lowest point in 200 years” and harshly criticized former President Jair Bolsonaro, accusing him of betraying the country by allegedly encouraging U.S. interference in Brazilian affairs.
“Bolsonaro should face another trial for provoking Trump’s intervention. He is a traitor to the homeland,” Lula stated.
Diplomatic Rift Deepens
Although the U.S. originally announced a reciprocal 10% tariff on Brazilian goods, Trump added a 40% surcharge in response to what he described as a “witch hunt” against Bolsonaro, who is currently on trial for attempting to overturn the 2022 election results.
In parallel, Brazil is under investigation by the U.S. Trade Representative (USTR) for alleged unfair practices affecting American businesses operating in the country. Lula, however, firmly rejected any external interference in Brazil’s judiciary:
“The Brazilian Supreme Court doesn’t care what Trump says, nor should it.”
BRICS Response in the Works
Despite rising tensions, Lula said Brazil would not respond with immediate reciprocal tariffs. Instead, he announced plans to coordinate a joint response with fellow BRICS nations, starting with India and China.
“There is no coordination among BRICS yet, but there will be,” Lula affirmed, comparing the bloc’s potential response to collective bargaining power.
“What’s the negotiating power of a small country against the U.S.? None.”
Brazil is also exploring the possibility of filing a collective complaint at the World Trade Organization (WTO) along with other affected countries.
No Rush to Reconcile
While Brazil faces some of the steepest tariffs from the Trump administration, the country’s economic weight—ninth largest in the world—gives Lula greater leverage than most.
“I was born negotiating,” said the veteran union leader. “But we must proceed with caution.”
Lula left open the possibility of a future meeting with Trump at next month’s U.N. General Assembly or the COP climate talks in November. However, he expressed concern over Trump’s treatment of other leaders, such as Ukraine’s Volodymyr Zelensky and South Africa’s Cyril Ramaphosa.
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