Trump announces 50% tariff on Brazil, excludes key sectors like aircraft, energy

Trump administration also sanctioned the Brazilian supreme court justice who was overseeing former Brazil President Bolsonaro's trial on charges of plotting a coup.

By: Express Web Desk

Updated: July 31, 2025 06:51 AM IST

In a letter on July 9, President Trump had threatened Brazil’s President Luiz Inacio Lula da Silva with higher tariff levies. (AP Photos)

US President Donald Trump on Wednesday signed an executive order imposing a 50% tariff on most Brazilian goods in order to fight what he called a “witch hunt” against former President Jair Bolsonaro, but excluded some key sectors like energy, aircraft, and orange juice from heavier tariffs.

In a letter on July 9, President Trump had threatened Brazil’s President Luiz Inacio Lula da Silva with higher tariff levies which was based on an earlier executive order that said trade imbalances were a threat to the US economy. However, a US Census Bureau report said that the US ran a $6.8 billion trade surplus with Brazil in 2024.

Trump’s announcement of a 50% tariff on Brazil is one of the steepest levies imposed on any country in the US trade war as the Trump administration also sanctioned the Brazilian supreme court justice who was overseeing former Brazil President Bolsonaro’s trial on charges of plotting a coup.

“Alexandre de Moraes has taken it upon himself to be judge and jury in an unlawful witch hunt against US and Brazilian citizens and companies,” said US Treasury Secretary Scott Bessent in a statement.

The executive order would apply an additional 40% tariff on the baseline of 10% tariff which is already in place since April. However, not all the goods imported from Brazil would face the additional 40% sanction.

Civil aircraft and parts, aluminum, tin, wood pulp, energy products and fertilizers are among the products that are excluded and would attract the 10% baseline tariff. The increased tariffs on Brazil appears to be triggered by non-economic matters. But the new tariff rates announced for Brazil would go into effect from August 6, and not on August 1 as Trump announced originally.

Brazilian Minister of Foreign Affairs Mauro Vieira said that he met US Secretary of State Marco Rubio on Wednesday to assure that Brazil would like to negotiate the tariffs.

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