US President Donald Trump signed an executive order on Wednesday to officially impose 50% tariffs on Brazil, which he had earlier warned about. He used a 1977 law to justify the move, saying that Brazil’s actions and the legal case against former President Jair Bolsonaro created an economic emergency for the US, a report by Associated Press said.
Why did Trump slap 50% tariff on Brazil?
Trump had first made this threat in a letter to Brazilian President Luiz Inacio Lula da Silva on July 9. At that time, he based it on a different executive order, which claimed that trade imbalances could harm the US economy. However, the report claims that the US data shows that in reality, America had a $6.8 billion trade surplus with Brazil last year, meaning it sold more to Brazil than it bought.
The summary provided by the White House on the tariff imposition on Brazil states that the President has committed to protecting America’s national security, economy, and free speech. This includes standing up to foreign actions that harm US interests or violate human rights.
It further pointed out that recently, some officials in Brazil have taken actions that the US has called extreme and unfair. The US claims that Brazil has tried to force American tech companies to remove political content, block users, hand over private data, and change how they handle content online. If the companies refuse, they face massive fines, legal threats, or even being banned from doing business in Brazil. The US believes this not only hurts American businesses but also goes against basic human rights and the idea of free and fair elections.
Another issue highlighted in the summary is Brazilian Supreme Court Justice Alexandre de Moraes. Since 2019, he has been accused of using his power to silence political critics, protect his allies, and punish opponents without fair process. He has reportedly ordered secret censorship, fined US companies, threatened to jail their leaders, and even frozen a US company’s assets in Brazil.
The White House said that these actions are unacceptable and that Trump is standing up for American companies and citizens, defending free speech, and making sure US businesses aren’t bullied by foreign powers.
Trump had earlier said that the move was in response to what he believes is a “witch hunt” against former Brazilian President Jair Bolsonaro.
Trump’s 50% tariff on copper
The White House also informed on Wednesday that Trump had signed another order to place new tariffs on copper imports, citing the reason as national security. A summary given by the White House said that starting August 1, Washington will impose a 50% tariff on imported semi-finished copper products like pipes, wires, sheets, rods, and tubes. The same high tariff will also apply to copper-heavy goods such as cables, connectors, and electrical parts. This tariff only affects the copper portion of a product. Any other materials in the item will be taxed separately as per existing rules. If a product is already taxed under auto-related tariffs, it won’t be taxed again under this copper rule.
Raw copper materials such as ores, cathodes, anodes, and copper scrap will not be affected by this tariff. The summary added that the US government may later add more copper-based products to this tariff list through a new review process.
To strengthen the local copper industry, the President has also announced new rules. From now on, 25% of all high-quality copper scrap produced in the US must be sold within the country. Exporting this scrap may also require a license. Starting in 2027, the same rule will apply to raw copper materials, with the domestic sale requirement rising to 30% in 2028 and 40% in 2029. This move aims to help US manufacturers access cheaper local copper and grow their operations.