US slaps 25% tariff on most Brazilian goods over 'unfair trade practices'
Washington imposed a 25% tariff on most Brazilian goods after a Section 301 investigation concluded the country's trade practices were unfair. A separate forced-labor enforcement probe could add another 12.5% duty, with a decision due next week.
The Section 301 investigation, carried out by the U.S. Trade Representative's office, concluded that Brazil's trade practices in certain sectors placed American companies at an unfair disadvantage. Following that finding, Washington began applying a 25% tariff on the large majority of goods imported from Brazil.
Officials said a separate forced-labor enforcement review is also underway. Should that probe conclude unfavorably, an additional 12.5% duty could be applied to Brazilian-origin goods as soon as next week, potentially pushing the combined tariff rate to 37.5%.
Brazil's government has argued the decision is disproportionate, while U.S. officials maintain the move is intended to curb unfair competition. The decision marks a new period of tension in trade relations between the two countries.
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