A group of 50 Democratic deputies sent a letter this Thursday (18) asking President Donald Trump to revoke the remaining customs duties on Brazilian products and accusing the Republican of using the exclusion of the meat surcharge as “political retaliation” against JBS.
“Some of your exclusions appear to benefit companies with close ties to your government, including Brazilian meat giant JBS, which made the largest donation ($5 million) to your inauguration committee, raising serious suspicions that these exclusions may be granted as political retaliation,” reads the letter obtained by Leaf.
According to Vice President Geraldo Alckmin, 22% of Brazilian exports to the United States are still subject to surcharges.
In late July, the US government imposed a 40% surcharge on products from Brazil, in addition to so-called 10% “reciprocal tariffs” applied globally. On November 14, the US government dropped 10% tariffs on some products globally, including major Brazilian exports, such as meat and coffee. On November 20, the 40% surcharge was also reduced for 238 Brazilian products, including coffee, beef, bananas, tomatoes and açaí.
The industrial sector is most affected by the remaining tariffs.
In the letter to Trump, led by Reps. Linda Sánchez and Adriano Espaillat, the lawmakers say the Republican is pushing Brazil into China’s arms by imposing unjustified sanctions. According to the text, since Trump imposed the tariffs on Brazil, his administration has provided no evidence that these tariffs could create jobs for Americans or revive American industries.
“Instead, in response to the tariffs, Brazil – like many countries around the world – has accelerated its efforts to distance itself from the United States, including by advancing trade deals with Mexico, Vietnam and others,” the letter said. “China quickly seized the opportunity to strengthen ties with Brazil, presenting itself as the South’s ‘defender’ against the United States, expanding BRICS cooperation and turning to Brazil to supply essential goods.”
Democrats accuse the Republican of exploiting American economic power “to protect his political allies” and criticize what they consider to be “a punitive, erroneous and self-destructive trade policy with Brazil.”
The letter also criticizes the White House’s push against Brazil’s attempts to regulate big tech, explained in the White House Office of Commerce’s Section 301 investigation. “Trump falsely stated that the tariffs were necessary to allegedly defend ‘free speech’ in Brazil against the country’s attempts to regulate digital platforms that have spread hate speech and anti-democratic disinformation.”
The Section 301 investigation, opened in July, could result in sanctions against Brazilian products and services and cites regulations for big tech, Pix, ethanol market access, intellectual property protection and tariff preference agreements with other countries.
“While Section 301 investigations are an important tool to combat legitimate unfair trade practices, your tariff threat letter to Brazil indicates an abuse of Section 301 power to achieve political goals.”
Representatives including Alexandra Ocasio Cortez, Debbie Wasserman Schultz, Rashida Tlaib and Joaquin Castro also signed the letter.