Brasilia – President US,Donald TrumpHe signed an executive order this Thursday, the 20th, – Elimination of the additional 40% customs duties imposed on many Brazilian productsmiddle Progress in negotiations between the two countries. In practical terms, the decision eliminates additional duties on important elements of the country’s export sector.
At the end of July, Trump imposed an additional 40% tariff on Brazilian products, which was added to the 10% reciprocal tariff applied on a global scale – for a total of 50%. But the decree included a list of about 700 exceptions, such as orange juice and aviation products.
last week, Trump signed an executive order canceling the 10% reciprocal tariff. On importing products such as beef, bananas and coffee And tomatoes, at a time when the government is under pressure to reduce the cost of living for Americans.
At the time, the White House reported that it had maintained the additional 40% tariff on Brazil — a rate that fell for several products on Thursday. Thus, goods such as meat and coffee, which had a total tariff of 50%, are now tax-free.
See the key sectors covered by Thursday’s tariff relief and those that have been excluded:
coffee
Due to the cancellation of the additional duties on Thursday, Brazilian coffee was one of the sectors most affected by the US tariffs, as it was excluded from the first list of exceptions, dated July 31, issued by the US government.
Nearly 16% of Brazilian coffee is destined for the United States, one of the main export destinations for the beans. Shipments to the US market have declined significantly since August when the tariffs took effect.
The Brazilian Coffee Exporters Council (Cicafe) celebrated the elimination of the 40% surcharge on Brazilian coffee – while last week Trump actually dropped a 10% reciprocal tariff.
“We are celebrating achieving the additional 40% tariff reduction. We will be able to minimize the impacts and we will try as much as possible to recover the lost space in blends in the US market,” said Markus Matos, CEO of Sicafe. status/broadcast.
The national coffee sector feared losing space in the US market since major competitors for Brazilian beans were on more advantageous tariff conditions. “Now, Brazilian coffee is on par with other origins,” Matos commented. “We sought equality through extensive work inside and outside the country, behind the scenes, in the US government and here in the Brazilian government, and the result has come.”
The national exporters worked with the NCA (the National Coffee Association, which represents the US coffee industry) to exempt the Brazilian product, which represents about 34% of everything the US imports annually. The United States is not a significant player in coffee production, but it is the largest global consumer and relies on imports to supply the domestic market.
“Now, thanks to the efficiency and effectiveness of the chain, it is time to reclaim space in blends. In this way, we do not allow the competitor to form a long-term business relationship with our importers,” the CEO of Cicafe noted.
Woof
Meat, a relevant product for Brazilian exports to the USA, is included. The Brazilian Association of Meat Exporting Industries (Abiec) indicated that the decision to cancel the additional 40% customs duties on meat produced in Brazil indicates the success of the dialogue between governments.
“This decline strengthens the stability of international trade and maintains balanced conditions for all countries involved, including Brazilian beef,” APEC says.
The entity also says that this action demonstrates the effectiveness of the technical dialogue and negotiations conducted by the Brazilian Government, which contributed to a constructive and positive outcome.
“APEC will continue to work collaboratively to expand opportunities and strengthen Brazil’s presence in key global markets,” the memorandum said.
Fruits and others
The document issued by the White House also includes Fruits Such as avocado, guava, mango, banana, acai, and cocoa, in addition to nuts, coconut water, acai, spices, vegetables, roots, and tubers.
President of the Parliamentary Agribusiness Front (FPA) and federal MP, Pedro Lupion (PP-PR), highlighted the elimination of tariffs on oil and gas. Coal Exported from Brazil.
Who was excluded?
However, the tariff exemption does not include all Brazilian products that were taxed in August. the Instant coffeeFor example, there has been no easing of tariffs, according to Wilbur Barral, former foreign trade secretary. “There was a decrease in some items included in Annex I and Annex II. Some industrial or processed products, such as soluble coffee, were excluded,” he said. Agrarian state.
industry fish He was also left out and speaks of “frustration”. “We are obviously happy with the sectors that have advanced, but we are disappointed that we do not see development and prioritization of fish by the Brazilian government,” Eduardo Lobo, president of the Brazilian Association of Fisheries Industries, said in a statement.
Another sector not covered is honey, In addition to different industrial products, Such as machines, and shoes. “Let’s finish the analysis to find out which one (products) They were not included and then questioned by the US government. But now is the time to celebrate,” said Minister of Trade and International Relations of the Ministry of Agriculture and Livestock (MAPA), Luis Roa.Isadora Duarte, Daumildo Junior and Julia Pistagna collaborated
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