Brazil has filed a request for consultations with the United States at the World Trade Organization (WTO) over tariffs imposed on several Brazilian products. The foreign ministry announced on July 27 that Brazil considers the US measures 'unjustified and incompatible' with international trade rules. This move comes after the US imposed two rounds of tariffs this month, targeting alleged unfair trade practices and forced labor.
The recent tariffs follow a pattern of trade tensions between the two countries. In 2025, the US imposed 50 percent tariffs in response to the coup-related trial that sent former president Jair Bolsonaro to prison. Those tariffs were largely reversed later on. President Luiz Inacio Lula da Silva has accused right-wing candidate Flavio Bolsonaro, son of the former president, of encouraging US tariff pressure to gain an advantage in the upcoming October election.
A request for consultation is a preliminary step in the WTO dispute settlement process, which could lead to the formation of a panel to adjudicate the case. Brazil's action mirrors a similar step taken in 2025, highlighting ongoing trade frictions. The current tariffs include a 25 percent charge for alleged unfair trade practices and 12.5 percent for alleged use of forced labor.
The political context of these tariffs is significant, with Lula accusing Flavio Bolsonaro of leveraging US trade pressure for electoral gain. Flavio Bolsonaro, a staunch ally of former US President Donald Trump, denies these allegations. Additionally, Brazil recently denied visas to two US officials seeking to meet with Brazilian election authorities, further escalating diplomatic tensions ahead of the presidential vote.