The Brazilian government has begun a process that could result in reciprocal measures against the United States in response to the tariffs recently imposed by Washington on Brazilian goods.
Relations between the two countries continue to deteriorate, and the government on Thursday said the first step would be to seek further diplomatic consultations with U.S. trade officials.
Brazil described the US tariffs as “unjustified and arbitrary” and said it would continue to defend its position thru all appropriate channels.
The United States imposed tariffs of 25% on some Brazilian products in July, citing alleged unfair trade practices. It also imposed 12.5 per cent tariffs on goods from several countries, including Brazil, citing weak enforcement of restrictions on forced labor.
Earlier, Brazilian President Luiz Inacio Lula da Silva vowed to take whatever steps are needed to apply the country’s Reciprocity Law, which allows for retaliatory measures beyond tariffs on US imports.
Brazilian authorities have warned that such measures could disrupt supply chains and stoke domestic inflation.
Sources said the government was considering options including restrictions on US audiovisual companies and suspension of pharmaceutical and farm patents.