U.S. Trade Representative Jamieson Greer’s probe comes after Trump threatened 50 percent tariffs on Latin America’s largest economy.
U.S. Trade Representative Jamieson Greer announced the opening of an investigation into Brazil’s “unfair” trading practices on Tuesday.
The commencement of the probe comes a week after President Donald Trump announced 50 percent tariffs on imports from the country.
He said he planned to impose the exceptionally high rate, far higher than the 10 percent levy on goods from most other nations, due to Brazil’s continuing pursuit of a trial against former Brazilian President Jair Bolsonaro for allegedly plotting a coup d’état.
Greer’s investigation will look to determine whether acts, policies, and practices enacted by Brazil—related to digital trade and electronic payment services, such as unfair, preferential tariffs, anti-corruption interference, intellectual property protection, ethanol market access, and illegal deforestation—present an “unreasonable or discriminatory and burden or restrict U.S. commerce,” the Office of the U.S. Trade Representative (USTR) said in a statement.
“At President Trump’s direction, I am launching a Section 301 investigation into Brazil’s attacks on American social media companies as well as other unfair trading practices that harm American companies, workers, farmers, and technology innovators,” Greer said in the statement.
“USTR has detailed Brazil’s unfair trade practices that restrict the ability of U.S. exporters to access its market for decades in the annual National Trade Estimate (NTE) Report. After consulting with other government agencies, cleared advisers, and Congress, I have determined that Brazil’s tariff and non-tariff barriers merit a thorough investigation, and potentially, responsive action.”
Brazil has as yet not given an official response to the announcement of Greer’s investigation; however, after Trump revealed his plan to impose the 50 percent rate on July 9, Brazilian President Luiz Inácio Lula da Silva issued a statement on social media platform X saying that “any unilateral tariff increases will be addressed in accordance with Brazil’s Economic Reciprocity Law.”
In the statement, Lula also said in relation to Trump’s linking of the tariffs to Bolsonaro’s trial, “Brazil is a sovereign nation with independent institutions.”
By Guy Birchall