Brazil's Lula Says He Will Seek Joint Response with BRICS Leaders to Trump's Tariffs
"No Plans to Announce Retaliatory Tariffs Against the U.S."
Avoiding Direct Confrontation With the U.S. by Filing a WTO Complaint
Hints at Possible BRICS Solidarity
Brazilian President Luiz Inacio Lula da Silva, who had previously warned of a strong response by stating, "We will not give up the means of defense permitted by domestic law," has now taken a step back, clarifying that there are no plans for retaliatory tariffs against the United States. Instead, he has chosen to file a complaint against the U.S. at the World Trade Organization (WTO), opting for an international legal process and easing his diplomatic stance. Lula also hinted at the possibility of a joint response with BRICS countries against the U.S. tariff measures.
On August 6 (local time), President Lula, age 79, commented on U.S. President Donald Trump, also age 79, who imposed an exceptionally high 50% import tariff on Brazilian products, stating, "It would be humiliating for me to have a direct conversation with an American leader who has no intention of dialogue."
In an interview with Reuters published that day, President Lula said, "If I believe President Trump is ready to talk, I will not hesitate to call him," adding, "However, my instinct tells me that he does not want to talk, and I do not want to feel humiliated."
Lula, who has led Brazil from 2003 to 2010 and again since 2023, added, "I will not rush to contact the American president, but I will not forgo ministerial-level meetings," and clarified, "There are no plans to announce reciprocal (retaliatory) tariffs against the U.S."
This marks a shift from his previous tough stance that suggested retaliatory tariffs, as he is now exercising restraint and lowering his tone. It is interpreted as an attempt to avoid a direct confrontation with the United States while leaving room for negotiation.
According to both the Brazilian government's own analysis and expert assessments, the prevailing view is that the 50% high tariff imposed by the U.S. is unlikely to shake the Brazilian economy as a whole. Reuters reports that the U.S. accounts for only about 12% of Brazil's total exports, and the products subject to the 50% tariff represent approximately 36% of Brazil's total exports.
Reuters noted that this gives President Lula more leeway to take a stronger stand against President Trump than other Western leaders.
Previously, after the U.S. announced reciprocal tariffs, the Brazilian government informed the U.S. that the scale of Brazil-U.S. trade amounts to only 1.7% of Brazil's Gross Domestic Product (GDP), and that Brazil is running a trade deficit in bilateral trade with the U.S.
President Lula also suggested that he could invoke BRICS solidarity in response to the U.S. tariff measures. He stated that he plans to discuss the possibility of a joint response to the U.S. tariffs with other BRICS leaders, saying, "I will first reach out to China and India."
He also criticized President Trump for linking the trial of former President Jair Bolsonaro, age 70, who is accused of plotting a coup, to the new tariff measures, saying that "relations between the U.S. and Brazil have fallen to their worst point in 200 years" because of Trump.
President Lula emphasized, "(Supreme Court justices) should not pay attention to Trump's words, nor should they be concerned by them," and pointed out, "It is unacceptable for the President of the United States to think that he can impose rules on a sovereign country like Brazil."
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On the same day, Brazil announced that it had filed a complaint with the WTO against the U.S. for imposing a 50% high tariff on Brazilian products in connection with the trial of former President Jair Bolsonaro on charges of plotting a coup. Brazil has formally requested consultations with the U.S.; the U.S. must state its position within 10 days and conduct bilateral consultations within 60 days.
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