Post
Topic
Board Economics
Re: USA announces 50% tariffs on Brazil
by
paxmao
on 16/07/2025, 20:54:48 UTC
There will be more news like this in the media soon as this is a familiar move by the US whenever they target someone. But unfortunately, this move will not work because there is no trade deficit between the US and Brazil, nor are they Brazil's largest trading partner.

Increasing tariffs or escalating tensions will only hurt both countries, and the people of both countries will bear the full consequences.
Brazil certainly will not give in because they are a country with a trade deficit with the US, not the other way around, so they have no reason to give in to unreasonable US pressure.
Considering Brazil is part of BRICS pact as well, I am sure that whatever they were selling to USA, they could just keep on selling to Russia and China and they would still be fine ,there won't be any issues for them at all. I get that USA may want to (or more like trump) make a show out of this, like keep on doing tariffs to show the voters he is doing something, but there is absolutely nothing that could make this viable at all.

He is looking for that third term, yes it should be "not allowed" but I guarantee you, with congress, senate, supreme court and everywhere else in his pocket so that means if he tries to run for a third term, who could really stop him? Like who has the power to actually stop him? All the people that have the power, are already his republican friends, so I bet you that if he can, he will try.

Unfortunately, there is no equivalent market to US. It is just too big and uses up resources like no other system. So I would not count on an easy change for many of the products. It may be the case that China and India profit for a termporary overproduction, but most likely production in Brasil may experience a downturn.

Unless BRICS can actually put their act together, but it does not seem so. Too many different interests.