U.S. President Donald Trump answers questions during a multilateral lunch with African leaders in the State Dining Room of the White House July 9, 2025 in Washington, DC.
Win McNamee | Getty Images
President Donald Trump said Wednesday the U.S. will slap a 50% tariff on Brazil‘s imports starting Aug. 1, partly in retaliation for the ongoing prosecution of the country’s former president, Jair Bolsonaro.
Trump said in a letter that the new tariff — a massive jump from the 10% rate the U.S. imposed on Brazil in early April — is also being imposed in response to the “very unfair trade relationship” between the two countries.
The letter to Brazil’s current president, Luiz Inacio Lula da Silva, followed nearly two dozen others that Trump has recently sent to other world leaders, dictating steep new tariff rates on the goods they sell to the U.S.
But the letter to Lula goes further than the rest, by imposing a new U.S. import tax rate explicitly as a punishment for a country engaging in internal political and legal affairs that Trump dislikes.
The value of Brazil’s currency, the real, fell more than 2% against the U.S. dollar following Trump’s announcement.
Trump has previously sounded off on Brazil over its treatment of Bolsonaro, a vocal ally of the U.S. president who is standing trial over his role in an alleged coup to overturn his 2022 reelection loss.
Trump called the situation “an international disgrace” in the letter, which he shared publicly in a Truth Social post.
He also railed against “Brazil’s insidious attacks on Free Elections, and the fundamental Free Speech Rights of Americans,” apparently referring to the Brazilian Supreme Court‘s recent ruling that could hold social media platforms liable for their users’ content.
Trump also claimed that Brazil’s trade policies have caused “unsustainable Trade Deficits against the United States,” which threaten the U.S. economy and national security.
But the U.S. has a goods trade surplus with Brazil, which totaled $7.4 billion in 2024, according to the Office of the U.S. Trade Representative.
The U.S. is also launching an investigation into potential unfair trade practices by Brazil, Trump wrote in the letter.
He said that probe is based on “Brazil’s continued attacks on the Digital Trade activities of American Companies.”
“Please understand that the 50% number is far less than what is needed to have the Level Playing Field we must have with your Country,” Trump wrote. “And it is necessary to have this to rectify the grave injustices of the current regime.”
Portions of the letter to Lula match the verbiage of the 21 tariff letters that Trump has sent to other world leaders since Monday.
This is breaking news. Please refresh for updates.