Brazil has no intention of entering a trade war with the United States, a government minister said Tuesday after US President Donald Trump imposed a 25-percent levy on steel.
Brazil is the second-largest exporter of steel to the US after Canada, providing 4.08 million tonnes of the metal in 2024.
Asked about potential retaliation to the tariffs, institutional relations minister Alexandre Padilha told journalists “the government has not discussed this at all,” but was opposed to a commercial standoff.
“Brazil does not encourage and will not enter into any trade war. We will always be in favor of strengthening free trade even more,” said Padilha.
However, this stands in contrast to comments made by President Luiz Inacio Lula da Silva last month, vowing reciprocation if Trump hit Brazil with tariffs.
“It’s very simple: if he taxes Brazilian products, Brazil will reciprocate in taxing products that are exported from the United States,” said the 79-year-old Lula.
Lula said he would prefer to “improve our relationship with the United States” and boost trade ties with Brazil’s second-largest trading partner after China.
“I want to respect the United States and for Trump to respect Brazil. That’s all,” he said.
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