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Trump wants to tax Brazil! The president-elect of the United States announces his intention to apply tariffs to foreign products and states: “If anyone taxes us, we will tax them back!”

Written by Deborah Araújo
Published 23/12/2024 às 09:39
Trump wants to tax Brazil! US President-elect announces intention to apply tariffs to foreign products
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Donald Trump threatens new tariffs against Brazil and promises to retaliate against foreign products! The president-elect of the United States reinforces protectionist policy with the slogan: “If you tax us, we will tax you back!”

Does Trump want to tax Brazil? US President-elect Donald Trump has caused a stir again by announcing his intention to apply new tariffs to foreign products, including those from Brazil. During a press conference at Mar-a-Lago, Florida, Trump reaffirmed his position in defense of protectionist measures, highlighting that his tariff strategy is a direct response to countries that apply taxes to American exports.

“If you tax us, we will tax you back. Tariffs will make our country rich,” Trump said. The statement puts Brazil at the center of the Republican’s trade radar, raising concerns about the possible impact on economic relations between the two countries.

Why does Donald Trump want to tax Brazil?

Brazil was cited by Trump as one of the countries that have tariffs considered high on American products. The speech reignited debates about trade protectionism and its impact on Brazilian exports, especially in the agricultural and industrial sectors, which have a strong presence in the United States market.

Historically, the tariffs applied by Brazil to imported products are seen as a way of protecting the national industry.

Trump, however, has made it clear that he wants to retaliate against any country that taxes the United States, including Brazil. This policy of “an eye for an eye” had already been applied during his first term and promises to return with full force in his new administration.

The impact of tariffs on Brazil by Donald Trump

Trump argued that increasing tariffs does not generate negative impacts, such as inflation or price increases, citing examples from his first term. He reinforced that tariffs are a way to strengthen the American economy and encourage domestic production.

If the new tariffs are implemented, Brazilian exports could be directly affected. Products such as steel, aluminum, meat and soybeans, which have a strong market in the United States, could become less competitive due to increased costs.

Brazil, in turn, may seek to diversify its trading partners, strengthening relations with other powers, such as China and the European Union, to minimize the impacts of a possible trade war with the United States.

Friendship and tension in the relationship with China

Interestingly, while he has toughened his tone with countries like Brazil, Donald Trump has adopted a more moderate tone towards China. He has praised Chinese leader Xi Jinping and highlighted the importance of the relationship between the two countries. “China and the United States can solve all the world’s problems,” Trump said, emphasizing the need for cooperation.

This contrast between the stance toward Brazil and China raises questions about the new administration's strategic priorities. While seeking to maintain a friendly relationship with Beijing, Trump appears inclined to pressure countries like Brazil to trade negotiations.

Investment and energy in the United States

Trump also used the press conference to highlight his economic plans, including a billion-dollar investment by SoftBank in the United States. According to him, the Japanese group will allocate $100 billion to the country over the next four years, focusing on artificial intelligence and innovative industries. To attract more investors, Trump promised to facilitate federal permits, including environmental ones, for projects that exceed the US$ 1 billion mark.

The Republican also defended an increase in hydrocarbon exploration, reinforcing that the United States has sufficient energy resources to reduce dependence on imports from countries such as Venezuela.

What about the war in Ukraine?

Another point raised by Trump was the war between Russia and Ukraine. He admitted that the conflict is a complex issue and more difficult to resolve than the conflicts in the Middle East. Despite this, Trump promised to talk to Vladimir Putin and Volodymyr Zelensky to seek a peaceful solution.

The statement reflects Trump's direct diplomatic style, but it also highlights the challenges he will face in trying to mediate global conflicts while implementing protectionist policies at home.

What to expect from Trump's new term?

Trump's stance toward Brazil and other countries shows that protectionism will be a hallmark of his administration. The proposed new tariffs reflect an effort to strengthen the American economy, but they also pose risks of trade tensions and negative impacts on partners like Brazil.

However, the announcement of massive investments and the focus on technological innovation show that Trump also has an eye on the future, seeking to balance protectionism with measures that attract foreign capital.

Brazil, in turn, will have to deal with these diplomatic and commercial challenges, seeking strategies to maintain the competitiveness of its products and diversify markets. Meanwhile, the world will be watching the developments in American trade policy and the impact it will have on the global scenario.

The phrase “if you tax us, we will tax you back” makes it clear that the international trade game will be intense in the coming years. It remains to be seen how Brazil and other countries will respond to the strategies of the President of the United States, Donald Trump.

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Deborah Araújo

I write about renewable energy, automobiles, science and technology, industry and the main trends in the job market. With a close eye on global developments and daily updates, I am dedicated to always sharing relevant information.

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