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The tariff Bizarro World gets more bizarre.

50 Percent Tariff on Brazil

NBC News reports Trump hits Brazil with 50% tariff, in part due to trial of ally Jair Bolsonaro

President Donald Trump announced Wednesday he planned to hit Brazil with a 50% tariff, in part because of the treatment of its former president Jair Bolsonaro, his political ally.

In a letter on his Truth Social social media network, Trump told current President Luiz Inácio Lula da Silva that “the way Brazil has treated former President Bolsonaro … is an international disgrace.”

Trump has fiercely defended Bolsonaro, who is sometimes referred to as the “Trump of the tropics,” as Bolsonaro faces charges that he plotted to overturn his 2022 election loss.

“This trial should not be taking place,” Trump added.

Trump’s Letter to Brazil

Trump’s Letter to Brazil posted on Truth Social also moans about trade imbalances.

Starting August 1, 2025, we will charge Brazil a tariff of 50% on any ana all Brazilian products sent into the United States … Please understand that the 50% number is far less than what is needed to have a level playing field with your country.

US Trade With Brazil

US Trade with Brazil, imports and Exports, chart by Mish

Trump copied his nonsensical rant from his other tariff letters without thinking, or perhaps even knowing, the US has a trade surplus with Brazil for 17 straight years.

Brazil threatened to retaliate, and they easily can.

US Exports to Brazil

1. Mineral Fuels and Oils: This category, including items like refined petroleum and crude oil, is a major export from the U.S. to Brazil.
2. Aircraft, Spacecraft, and Parts: The U.S. exports a significant amount of aircraft and related equipment to Brazil, including civilian aircraft engines.
3. Machinery, Nuclear Reactors, and Boilers: This category includes a variety of industrial machinery and equipment.
4. Electrical and Electronic Equipment: This encompasses a range of goods from semiconductors to computers and related accessories.
5. Iron and Steel: Brazil imports significant quantities of iron and steel products from the U.S.
6. Wood and Articles of Wood: This category includes various wood products and pulp of wood.

Categories 1, 3, 4, 5, and 6 are things Brazil can easily get elsewhere.

However, disruptions are damaging to all parties. No one wins trade wars.

Copper Spikes to Record High After Trump’s 50 Percent Tariff Announcement

Earlier today, I noted Copper Spikes to Record High After Trump’s 50 Percent Tariff Announcement

How Many Jobs Will Trump Create?

Assuming the US produces all the copper it needs, the answer is hugely negative.

Perhaps mining industry employment doubles, if and when US mines get into production.

But that is dwarfed by users of copper, all paying a higher price.

Related Posts

February, 11, 2025: Trump’s Steel Tariffs Now Will Work as Good as the First Time

Q: How’s that? A: Very poorly.

March 13, 2025: The Amazing “Success” of Trump’s 2018 Aluminum Tariffs in One Picture

I hope you can take a bit of headline sarcasm because the true story follows.

May 31, 2025: Trump Will Double Steel and Aluminum Tariffs to 50 Percent

Tariff madness continues.

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