Trump Imposes Brazil Tariffs Excluding Key Exports Amid Bolsonaro Trial

U.S. President Donald Trump issued an executive order imposing tariffs of up to 50% on a broad range of Brazilian exports as a response to Brazil's prosecution of former President Jair Bolsonaro, who is on trial for allegedly plotting a coup following his 2022 election loss. The tariffs specifically target high-value-added steel products such as rolled, special, and stainless coils, while exempting essential raw materials like iron ore, pig iron, and ferroalloys to preserve the U.S. steel industry's supply chain. Several key Brazilian exports, including orange juice, certain aircraft components, wood pulp, and energy products, were also excluded from the tariffs, alleviating concerns for major exporters like Embraer and Suzano, whose shares rose following the announcement. The move is tied to accusations against Brazilian Supreme Court Justice Alexandre de Moraes for suppressing free speech and targeting political opponents, actions condemned by Trump as threats to U.S. interests and democratic values. The U.S. strategy appears to balance penalizing Brazilian products competing with U.S. industries while protecting vital inputs for American manufacturing. Brazil faces increased economic pressure amid these tariffs and competition from low-priced Asian imports, intensifying the need to diversify its export markets.