The CNI (National Confederation of Industry) assesses that the United States’ decision to remove reciprocal tariffs (10%) on agricultural products brings advantages to other countries to the detriment of Brazil. Even with the partial reduction announced by the White House, Brazilian products continue to be surcharged by 40%.
“Countries that do not face this surcharge will have more advantages than Brazil when selling to the Americans. It is very important to negotiate an agreement as soon as possible so that Brazilian products can once again compete under better conditions in the main destination for Brazilian industrial exports”, says Ricardo Alban, president of the CNI, in a note.
According to CNI’s preliminary analysis of , the American government’s measure of removing 10% reciprocal tariffs for 238 agricultural products applies to 80 items exported by Brazil to the United States. Among the products benefited are beef, tomatoes, coffee and bananas, among other agricultural imports.
Only 4 products – three types of orange juice and Brazil nuts – are exempt from taxes. The other 76 — which include sectors in which Brazil stands out, such as beef and unroasted coffee — will continue to be surcharged by 40% to enter the American market.
In 2024, Brazilian exports to the USA of these 80 products totaled US$4.6 billion, around 11% of the total, according to CNI data.
Positive, but limited
In the assessment of FIEMG (Federation of Industries of the State of Minas Gerais), the measure announced by the USA is positive, but is limited in nature for Brazilian products.
“Although it represents an initial advance, relevant doubts persist among Minas Gerais exporters about the maintenance of the 40% surcharge, which continues to affect the competitiveness of sectors such as meat and coffee, essential for the competitiveness of the industry”, says the entity in a note.
According to the entity, the practical impact of the 10% tariff reduction remains uncertain, especially for products for which Brazil is an essential supplier to the American market.
“It is an important step, but still insufficient. The decision shows a willingness to dialogue, but further progress is needed to remove all additional barriers and re-establish adequate competitive conditions for the Minas Gerais industry”, says Flávio Roscoe, president of FIEMG.
