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U.S. Tariff Hits Southern Forestry Sector and Provokes Immediate Reaction from Brazilian Companies

Written by Corporativo
Published on 28/08/2025 at 18:06
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Meeting Sets Joint Strategies In Light Of The Billion-Dollar Impact Of Exports

The forestry sector in the South Region mobilized after the imposition of a tariff of 50% by the United States.

This measure is already causing factory closures and increasing unemployment.

The Brazilian Southern Association of Forestry Companies (ASBR), formed by entities from Paraná, Santa Catarina, and Rio Grande do Sul, met in Campo Alegre (SC) on August 21.

The meeting aimed to discuss measures in light of the crisis.

According to the American Chamber of Commerce for Brazil (Amcham), the three states accounted for 86.5% of Brazilian wood exports to the U.S. in 2024.

The total amounted to US$ 1.37 billion during the period.

Associations Demand Diplomatic Response from Brasília

According to Fábio Brun, president of APRE Florestas, the union of the three entities is already occurring on various fronts.

However, the current situation demands more political coordination.

He emphasized that only the federal government can negotiate with the Americans to mitigate the impacts of the so-called “tariff hike”.

Even though companies are seeking alternatives, the executive reinforced that the sector cannot rely solely on staff cuts to remain competitive.

Santa Catarina and Legal Insecurity in the Sector

Meanwhile, the president of the ACR, José Mario Ferreira, warned about the seriousness of the situation in Santa Catarina.

According to him, factories have started to close and layoffs have been recorded since the tariffs were implemented.

He further noted that the instability surrounding the Federal Forestry Code and the Forestry Code of Santa Catarina increases the vulnerability of regional silviculture.

Even after 13 years of effectiveness, both legislations continue to face attacks and challenges.

This insecurity heightens the pressure on a sector already affected by the new geopolitical landscape.

Strengthening Institutional Representation

For Daniel Chies, president of Ageflor, the meeting symbolized the reaffirmation of the joint commitment of the entities from the South.

He highlighted that strengthening the ASBR is essential for ensuring greater negotiating capacity in Brasília.

Additionally, the association’s consultant, Fernando Castanheira Neto, noted that federal guidelines, both legislative and judicial, directly affect forestry activities.

In this context, integrating regional demands into national agendas was considered strategic.

Resolutions and Criticism of the Federal Government

One of the immediate outcomes of the coordination was the approval of a resolution at the Sectoral Chamber of Planted Forests of the Ministry of Agriculture and Livestock.

The document requests concrete measures from the federal government to defend the sector.

However, Castanheira criticized Brasília’s stance, alleging a lack of mobilization in bilateral negotiations with the United States.

He stressed that the forestry sector in the South, predominantly composed of pine and eucalyptus, cannot remain without responses to the American measure.

Thus, the August meeting was classified as fundamental.

It organized a political and institutional defense capable of preventing greater losses in the future.

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