The Office of the United States Trade Representative has proposed imposing 25% tariffs on Brazilian imports under Section 301, concluding that Brazil has engaged in practices deemed unreasonable and that such measures place burdens on or restrict U.S. commerce.
According to the statement issued by the Trade Representative, these practices encompass areas such as anti-corruption enforcement, protection of intellectual property rights, access to the ethanol market, and issues related to illegal deforestation.
U.S. Trade Representative Jamieson Greer stated that the Section 301 investigation was initiated under the direction of President Donald Trump.
Greer noted that although President Trump has held several constructive meetings with Brazilian President Luiz Inácio Lula da Silva, significant differences remain between the two sides regarding the resolution of the issues identified in the investigation. He added that the U.S. Trade Representative will conduct a hearing on the proposed measures on July 6.
Section 301 is intended to address unfair foreign trade practices that affect U.S. commerce, granting the president authority to impose tariffs if an investigation determines that such actions are unreasonable or discriminatory.
In July 2025, Brazil was subjected to a 50% tariff imposed by Trump, partly in response to the ongoing prosecution of former Brazilian President Jair Bolsonaro.
However, in February, the U.S. Supreme Court struck down those duties, leaving Washington authorized only to impose a 10% global tariff on exports to the United States.
Separately, the White House declared revisions to tariffs on selected imports of steel, aluminum, and copper. Tariffs on agricultural machinery, such as combines and harvesters, will be reduced from 25% to 15%, while the range of eligible equipment for the lower tariff rate will also be broadened.
Additionally, capital equipment containing at least 85% U.S.-sourced steel and aluminum by weight will qualify for a reduced 10% duty rate, down from the previous 95% requirement.
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