IAB believes that the imposition of a 25% rate on Brazilian steel products will not benefit any of the countries involved
O Steel Instituto Brasil (IAB) requested the resumption of conversations between the and those to reestablish the 2018 agreement, which deals with tariffs on steel and aluminum imports. The IAB believes that the imposition of a 25% rate on Brazilian steel products will not benefit any of the countries involved. In 2018, negotiations between Brazil and the US resulted in export quotas that allowed the sending of 3.5 million tons of semiacabados and signs, as well as 687,000 tons of laminates to the US market. The IAB stressed the importance of commercial relationship between nations, which moves about $ 7.6 billion. The Brazilian Aluminum Association (Abal) expressed its concern about new 25% tariffs on aluminum imports.
The entity questioned whether this rate will replace the anterior surcharge of 10% or be cumulative, totaling 35%. Abal has warned that this situation can make Brazilian products less competitive in the United States and cause a saturation in the domestic market. Minas Gerais, one of the main exporting states of steel products, could face challenges due to these new rates. The Federation of Industries of the State of Minas Gerais (FIEMG) noted that the taxation applies to all economies, which can create a more balanced scenario in competition.
Fiemg President Flávio Roscoe expressed optimism about the possibility of Brazil gaining a competitive advantage. The Federation of Industries of the State of São Paulo (Fiesp) also spoke out against the US decision, noting that the measure directly impacts Brazilian exporters. In 2024, Brazil accounted for 15% of the total amount imported in steel products by the United States. FIESP argued that Brazil does not represent a commercial threat and expressed confidence in the search for a quick solution, based on international trade standards.
Posted by Sarah Paula
*Report produced with the aid of AI
