Trump threatens 50% tariffs on Brazil over ex-president trial, despite trade surplus
The U.S. exported more goods to Brazil than it imported, contradicting Trump's usual justification for tariffs. In his letter, Trump cited the trial of ex-president Bolsonaro, calling it a "witch hunt"
The U.S. exported more goods to Brazil than it imported, contradicting Trump's usual justification for tariffs. In his letter, Trump cited the trial of ex-president Bolsonaro, calling it a "witch hunt"
The U.S. exported more goods to Brazil than it imported, contradicting Trump's usual justification for tariffs. In his letter, Trump cited the trial of ex-president Bolsonaro, calling it a "witch hunt"
President Donald Trump sent out a slew of letters Wednesday to some global trading partners, advising them of tariff levels as high as 50% for their exports to the United States.
He singled out Brazil in particular over charges against its right-wing former president, Jair Bolsonaro, saying the country "has not been good to us. Not good at all."
Bolsonaro, who has bragged about his closeness with Trump, is facing trial for allegedly attempting to stage a coup against the current president, Luiz Inácio Lula da Silva.
"It is a Witch Hunt that should end IMMEDIATELY!" Trump wrote of the trial in the letter announcing new tariffs on Brazil.
The main goods imported by the U.S. from Brazil most recently were coffee and petroleum.
Other recipients of tariff letters on Wednesday included the Philippines, Sri Lanka, Moldova, Brunei, Algeria, Libya and Iraq, with rates going as high as 30% on goods they ship to the United States. The new tariffs go into effect August 1, pending negotiations.
The rates Trump said would be imposed on goods from Sri Lanka, Moldova, Iraq and Libya were lower than those he announced in early April.
The rates on goods from the Philippines and Brunei were higher compared to April levels. Meanwhile, the rate on goods from Algeria was the same (30%) as April levels.
The U.S. and various trading partners have been negotiating new trade agreements since Trump announced so-called "reciprocal" tariffs back in April. But few deals have come to fruition.
During a cabinet meeting on Tuesday, Trump said "a letter means a deal." But that doesn't appear to be how some countries are perceiving them.
In the letters, Trump wrote that he takes particular issue with the trade deficits the United States runs with other nations, meaning America buys more goods from there compared to how much American businesses export to those countries.
Trump also said the tariffs would be set in response to other policies that he deems are impeding American goods from being sold abroad.
Trump has encouraged world leaders to manufacture goods in the United States to avoid tariffs. If they choose to retaliate by charging higher tariffs on American goods, Trump threatened to tack that onto the rate charged on their country's goods shipped to the United States.
Trump has now sent 22 letters on tariff rates to heads of state this week, and more could still come.
Wednesday at 12:01 a.m. ET was the initial deadline Trump set three months ago for countries to ink trade deals with the U.S. or instantly face higher tariff rates. However, on Monday, he extended that deadline to Aug. 1.
This is a developing story.
