Now Reading: Lula invokes Brazil’s reciprocity law against US tariffs
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Lula invokes Brazil’s reciprocity law against US tariffs
Brazilian President Luiz Inácio Lula da Silva said on Friday his government has triggered a reciprocity law mechanism against US-imposed tariffs on Brazilian exports. The US under President Donald Trump slapped duties…
The Story in Brief
Brazilian President Luiz Inácio Lula da Silva said on Friday his government has triggered a reciprocity law mechanism against US-imposed tariffs on Brazilian exports. The US under President Donald Trump slapped duties of up to 37.5% on hundreds of Brazilian goods in July, accusing Brazil of unfair trade practices. Lula, who is seeking reelection against Trump ally Flávio Bolsonaro, denied the accusations and said the move was to show Brazil "must be respected." Brazil's foreign ministry has also requested diplomatic consultations with the US.
The Indian Opinion
The narrative of Lula as the aggressor in this trade spat misses the mark. US tariffs of up to 37.5% on Brazilian exports came first, and Trump's allies, including Bolsonaro, met US officials before the hikes. Brazil's reciprocity law is a defensive tool, not an offensive one. Both sides have legitimate gripes: Washington accuses Brazil of unfair practices and stalling an ambassador, while Brasília bristles at visa revocations and election meddling. Watch whether Lula actually imposes retaliatory tariffs or uses the law as leverage for talks.
Source: newindianexpress.com
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