Brazil anticipates prolonged tariff negotiations with the U.S., focusing on sugar and ethanol. Minister Haddad indicated that Brazil’s strategy is to emphasize reciprocity, while Energy Minister Silveira criticized potential U.S. tariffs as unreasonable. The Brazilian government is thoroughly reviewing its trade agenda to prepare for upcoming talks.
Brazil’s Finance Minister Fernando Haddad indicated that the country anticipates prolonged negotiations with the United States regarding tariffs, particularly focusing on sugar and ethanol. He emphasized that as the U.S. engages in global tariff disputes, Brazil will undoubtedly be affected, stating, “As they are waging war with the entire world, they will not make an exception for Brazil.”
Haddad also expressed that negotiations will see both sides addressing ethanol and sugar concerns. This comes in light of U.S. President Donald Trump’s plans to raise import tariffs, particularly highlighting Brazil’s ethanol tariffs as part of the discourse on unfair trade practices. Alexandre Silveira, Brazil’s Energy and Mining Minister, deemed a prospective U.S. tariff on Brazilian ethanol as unreasonable and reiterated that negotiations over ethanol and sugar should occur in tandem.
Brazil stands as a leading sugar producer, generating most of its ethanol from sugarcane, in contrast to the U.S. which primarily utilizes corn for ethanol production. Brazilian officials have advocated that U.S. sugar import tariffs beyond preferential quotas are excessively high compared to Brazil’s own on ethanol imports. Furthermore, Haddad suggested that service exchanges could play a pivotal role in the negotiations with the United States.
The Brazilian minister emphasized a strategic approach, asserting that Brazil’s goal is not to exacerbate the tariff dispute but rather to wait for the U.S. to clarify its stance on trade. He noted, “Meanwhile, Brazil is reviewing its entire import and export agenda, item by item, so that when we go to the negotiating table, we can also present our demands.”
Haddad concluded by articulating Brazil’s commitment to a strategy of “reciprocity, not retaliation” during the tariff negotiations, showcasing a diplomatic approach to foster constructive dialogue.
In summary, Brazil expects extensive tariff discussions with the United States, focusing primarily on sugar and ethanol. Key figures like Finance Minister Fernando Haddad and Energy Minister Alexandre Silveira have voiced their concerns regarding U.S. tariffs and reiterated the historical context of negotiations between both nations. The Brazilian government is preparing to engage in these negotiations with an emphasis on reciprocity rather than retaliation, demonstrating a commitment to fostering equitable trade relations.
Original Source: money.usnews.com
