Organizations express concern about the effects of Trump's tariff hike

The imposition of 50% tariffs on Brazilian products by the Donald Trump administration has been met with concern by the Brazilian manufacturing sector. Some organizations claim the measure hinders exports and warn of the risks to the Brazilian economy.

In a statement, the National Confederation of Industry (CNI) stated that there is no economic reason to justify the United States' measure. The organization calls for intensified negotiations to preserve the relationship with one of Brazil's largest trading partners.

"There is no economic fact that justifies a measure of this magnitude, raising tariffs on Brazil from floor to ceiling. The impacts of these tariffs could be serious for our industry, which is closely interconnected with the American production system. A breakdown in this relationship would cause significant harm to our economy. Therefore, for the production sector, the most important thing now is to intensify negotiations and dialogue to reverse this decision," said CNI president Ricardo Alban in a statement.

The CNI advocated for "constructive and continuous" communication between the two governments. "We have always advocated dialogue as the most effective way to resolve differences and seek solutions that benefit both countries. It is through cooperation that we will build a more balanced, complementary, and beneficial trade relationship between Brazil and the United States," added Ricardo Alban.

Meats

Another sector that will be significantly affected by the 50% tariff is meat. According to the Brazilian Association of Meat Exporting Industries (Abiec), Trump's measure will increase the cost of Brazilian meat so much that it will make sales to the United States unfeasible.

"Abiec reinforces the importance of ensuring that geopolitical issues do not become barriers to global supply and ensuring food security, especially in a scenario that requires cooperation and stability between countries," he emphasized.

The association also advocated for the resumption of negotiations and stated its willingness to contribute to the dialogue. "We are open to dialogue so that measures of this nature do not impact Brazilian production sectors or American consumers, who receive our products with quality, regularity, and affordable prices," the organization added.

Agriculture

The Parliamentary Agricultural Front (FPA) also expressed concern about Trump's decision . In a statement, the front emphasized that the measure represents a warning to trade and political relations between the two countries and affects Brazilian agribusiness.

"The new tax rate has direct repercussions and affects national agribusiness, impacting the exchange rate, the resulting increase in the cost of imported inputs, and the competitiveness of Brazilian exports," declared the front, which represents the ruralist caucus in Congress.

"Given this scenario, the FPA advocates a firm and strategic response: this is a time for caution, sharp diplomacy, and an active presence for Brazil at the negotiating table. The FPA reiterates the importance of strengthening bilateral negotiations, without isolating Brazil in the negotiations. Diplomacy is the most strategic path to resuming negotiations," the FPA statement added.

Foreign trade

The Brazilian Foreign Trade Association (AEB) said it was surprised and outraged by the news of the US import tariff increase to 50% on Brazilian products. According to the association's CEO, José Augusto de Castro, this is not an economic measure, but a political one with a significant economic impact.

"It's certainly one of the highest taxes any country has ever been subjected to in the history of international trade, applied only to its worst enemies, which has never been the case with Brazil. In addition to trade difficulties with the United States, the White House's announcement could create a negative image of Brazil and make importers from other countries wary of doing business with our companies. After all, who would want to upset President Trump?" Castro asks.

The Brazilian Economic and Social Association (AEB) understands that the current scenario is very difficult for Brazil, as it poses a threat not only to our exporters but to the country's entire economy. The organization believes that common sense will prevail and the tax will be reversed.