A new US tariff targeting Brazil took effect on July 22, 2026, while Washington's other trading partners brace for a fresh volley of duties as President Donald Trump's temporary global levies expire this week. The 25-percent Brazil tariff followed a year-long US investigation, with Washington accusing the Latin American giant of unfair trade practices. Brazil's Vice President Geraldo Alckmin stated that Brazil will seek to resolve the issue through negotiations instead of retaliating.
Various products like beef, coffee, and aircraft parts will be exempted from the levy, and roughly half of Brazil's exports to the United States would remain excluded from the duty, estimates Valentina Sader of the Atlantic Council think tank. The duty is becoming a major campaign flashpoint ahead of Brazil's October presidential elections. The American Chamber of Commerce for Brazil recently warned that Washington's measure affects more than $11 billion in exports.
Trump on July 21 also announced a 100-percent tariff on generic drugs from August 2028, a day after ordering a 50-percent duty on many Canadian goods to take effect in 30 days. A broader sweep is yet to come, with officials in June proposing tariffs of between 10 percent and 12.5 percent targeting 60 trading partners over alleged failures to act against forced labor. Analysts widely expect the duties over forced labor to replace the temporary 10-percent global tariff -- expiring July 25 -- that Trump imposed after his Supreme Court setback.
FAQs
Q: Why did the US impose tariffs on Brazil? A: The US imposed tariffs on Brazil following accusations of unfair trade practices. A year-long investigation concluded that Brazil engaged in practices that warranted a 25-percent tariff.
Q: What products are exempt from the Brazil tariffs? A: Products like beef, coffee, and aircraft parts are exempt from the tariff. Approximately half of Brazil's exports to the US remain excluded from the duty.
Q: How much impact do the tariffs have on Brazilian exports to the US? A: The American Chamber of Commerce for Brazil estimates that the tariffs affect more than $11 billion in exports.
Q: What other tariffs has Trump announced recently? A: Trump announced a 100-percent tariff on generic drugs from August 2028 and a 50-percent duty on many Canadian goods to take effect in 30 days.
