Brazil’s Foreign Ministry has instructed the government trade body, Camex, to assess whether a recently passed local reciprocity law could be applied in response to the United States, two ministry sources said on Thursday.
The law, approved earlier this year by Brazil’s Congress, establishes a legal framework for Brazil to respond to unilateral trade measures affecting its goods and services, including possible countermeasures such as tariffs.
The move represents a potential escalation by Latin America’s largest economy after US President Donald Trump imposed 50% tariffs on Brazilian imports. Until now, Brazil had limited its response to consultations within the World Trade Organization.
The review follows authorisation from Brazilian President Luiz Inacio Lula da Silva to consider applying the law against the US, the sources added. Camex has 30 days to submit a report. If approved, a government working group will decide which sectors should be targeted in Brazil’s countermeasures.
Sources said the US is expected to be notified on Friday about the start of the process. The Ministry for Development, Industry, Trade and Services, which oversees Camex, did not immediately respond to a request for comment.
The US tariffs, imposed this month, were justified by accusations of unfair trade practices and claims of a “witch hunt” against former Brazilian President Jair Bolsonaro, who is on trial for allegedly plotting a coup. Some Brazilian exports, including orange juice and aircraft, were exempted from the higher duties.
Brazilian officials have publicly expressed frustration over limited opportunities to negotiate with US counterparts on the tariffs.
Faridah Abdulkadiri
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