After U.S. President Donald Trump declared that he would impose a 50% reciprocal tariff rate on Brazil, Brazilian President Luis Inacio Lula Da Silva announced plans for retaliatory measures.
On July 9 (local time), President Lula indicated possible retaliation by posting on X (formerly Twitter), "Unilateral tariff increases will be addressed in accordance with Brazil's Economic Reciprocity Law."
Earlier that day, President Trump sent a letter to Brazil citing political reasons and specifying a 50% reciprocal tariff rate. This represents a dramatic increase of 40 percentage points from the previous 10% base tariff that had been applied since April.
In his letter to President Lula, President Trump described the ongoing trial of former President Jair Bolsonaro as an "international disgrace," stating, "This trial must not proceed. The witch hunt must end immediately." He also claimed that free elections in Brazil and fundamental freedom of expression for Americans are under attack, and announced that a 50% tariff would be imposed on all Brazilian goods entering the United States starting August 1.
During his first term, President Trump frequently expressed support for former Brazilian President Jair Bolsonaro, who was known for his hardline conservative stance and was often referred to as the "Trump of South America."
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