After former U.S. President Donald Trump imposed a sweeping 50 per cent reciprocal tariff on Brazilian goods, Brazil’s President Luiz Inacio Lula da Silva issued a strong response on Thursday, asserting that he would not take orders from a “gringo”, a term commonly used in Brazil to refer to foreigners.
Brazilian President Luiz Inacio Lula da Silva emphasized that his country would move forward with the regulation and taxation of U.S.-based tech companies. (AFP)
Last week, Trump justified the tariff hike by citing alleged unfair trade practices and the treatment of former Brazilian President Jair Bolsonaro. In a letter addressed to Lula, Trump described Bolsonaro’s ongoing trial as a “witch hunt” and “an international disgrace.”
“I knew and dealt with former President Jair Bolsonaro, and respected him greatly, as did most other Leaders of Countries. The way that Brazil has treated former President Bolsonaro, a Highly Respected Leader throughout the World during his Term, including by the United States, is an international disgrace. This Trial should not be taking place. It is a Witch Hunt that should end IMMEDIATELY!” Trump wrote in the letter sent to Lula.
Trump also accused Brazil of attempting to undermine democratic values, free elections, and American free speech through secret censorship orders.
The 50 per cent tariff, starting April 1, applies to all Brazilian goods, including those rerouted through third countries, intensifying trade tensions between the two nations.
Lula and his administration have rejected Trump’s accusations and defended Brazil’s sovereignty. Speaking at an event in Goias, Lula said:
“No gringo is going to give orders to this president.”
He also reaffirmed Brazil’s plan to regulate and tax major U.S. tech firms, accusing them of “promoting violence and fake news under the pretext of freedom of expression.”
Brazil’s Foreign Relations Minister Mauro Vieira told CNN Brasil on Thursday that while Lula and Trump had not yet spoken, “If the circumstances are given, they will speak.”
Meanwhile, Brazil has been in talks with impacted industry groups and companies, and is preparing potential retaliatory measures if diplomatic negotiations with the U.S. fail.