Trump Removes 40% Tariffs on Brazilian Beef, Coffee, and Other Foods

Post by : Saif

U.S. President Donald Trump on Thursday signed an executive order removing the 40% tariffs on Brazilian food products, including beef, coffee, cocoa, and fruits. These tariffs were first imposed in July as a response to Brazil’s prosecution of former President Jair Bolsonaro, a close ally of Trump.

The removal of tariffs takes effect for Brazilian imports on or after November 13 and may include refunds for duties already collected on goods imported while the tariffs were in place. This decision is part of a broader shift by the White House to reduce certain trade barriers that have increased food costs in the United States.

Brazil supplies about a third of the coffee consumed in the United States, the world’s largest coffee market, and has also become a key supplier of beef, especially for burger production. The 40% tariffs, combined with other factors like weather-related production issues, caused U.S. retail coffee prices to rise by as much as 40% this year.

The tariff removal is expected to make Brazilian products more accessible in the U.S. market. Judith Ganes, a commodities analyst, noted, “Thousands of bags of Brazilian coffee that were sitting in bonded warehouses will start moving quickly to U.S. roasters.” Bonded warehouses allow importers to store products without paying import duties until they are cleared. Many importers waited in these warehouses for the tariff review.

Brazil’s beef industry group, ABIEC, welcomed the decision, saying it demonstrates the effectiveness of trade negotiations and reaffirming plans to increase Brazil’s market share in the United States. Brazilian President Luiz Inacio Lula da Silva also expressed satisfaction with the removal of the tariffs.

The executive order did not address U.S. actions against Brazilian authorities involved in Bolsonaro’s prosecution. Previously, sanctions were imposed under the Global Magnitsky Act, and U.S. visas were revoked for some officials. Despite these diplomatic measures, the trade decision signals a willingness to separate economic and political issues.

The lifting of tariffs is expected to ease food prices in the U.S., which have been a key concern for consumers and a factor affecting Trump’s approval ratings. The move also restores a significant flow of Brazilian goods into the American market, benefiting both countries’ economies.

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