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Trump threatens Brazil with massive 50% tariff, citing “Witch Hunt” against ex-president Bolsonaro

President Trump announced on Wednesday that he plans to impose a 50% tariff on goods from Brazil starting next month, marking one of the highest rates for any U.S. trading partner. The decision comes in response to the criminal prosecution of former Brazilian President Jair Bolsonaro, which Trump labeled as an “international disgrace.”

In a series of open letters sent to around 20 countries this week, including Japan and Iraq, Trump warned of higher tariffs set to take effect on August 1. Brazil is the only nation to face the 50% tariff this week, after being spared during Trump’s previous tariff announcement in April. Despite running a trade surplus with Brazil, with the U.S. exporting more goods to Brazil than it imports, Trump criticized the country for its handling of Bolsonaro’s prosecution.

Bolsonaro, who has been compared to Trump as a right-wing populist figure dubbed the “Trump of the Tropics,” was indicted last year for allegedly plotting a coup to stay in power after losing the 2022 elections to current Brazilian President Luiz Inacio Lula da Silva. The charges included a conspiracy to poison Lula and harm a Brazilian Supreme Court justice. Bolsonaro’s defense team denies the accusations, and he has been banned from running for office until 2030 due to doubts raised about Brazil’s electronic voting system.

Trump has shown unwavering support for Bolsonaro, condemning Brazil’s prosecution of him as a “Witch Hunt” and an “attack on a Political Opponent.” The president’s letter also criticized Brazil for alleged violations of free speech rights of Americans, referencing the Brazilian Supreme Court’s scrutiny of social media platforms owned by Elon Musk. Trump accused Brazil of maintaining an unfair trade relationship with the U.S., citing tariff and non-tariff barriers.

The U.S. Trade Representative’s report earlier this year highlighted Brazil’s high average tariff rate of 11.2% on imports, noting significant trade restrictions that American exporters face in the Brazilian market. Trump’s letter ordered an investigation into Brazil’s trade practices, specifically targeting digital trade activities and other unfair practices. Lula responded by invoking Brazil’s economic reciprocity law to counter any tariff increases imposed by the U.S.

In addition to the tariffs on Brazil, Trump threatened an additional 10% tariff on countries aligned with the “anti-American policies of BRICS,” a group of developing nations that includes Brazil. While these tariffs have stirred concerns about consumer prices and economic slowdowns, Trump defends them as necessary measures to revive U.S. manufacturing and address unfair trade practices.

As the three-month extension on previous tariff announcements comes to an end this week, Trump’s administration is moving forward with higher tariffs on various countries. The president’s aggressive trade strategy continues to shape U.S. economic policy, sparking debates over the impact on global trade and market stability.

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