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Trump vs. Lula: Trump’s Arrogance Toward Brazil and the LAC Is a Threat to Us All.
Donald Trump recently announced a new round of tariffs including outrageous ones on Brazil that bring the effective tariff rate to 50%. Forget that we have a surplus with Brazil or that they’re one of the biggest economies in Latin America, one of our closest allies historically and the biggest democracy in South America. Trump’s upset that the Lula administration is targeting his friend Jair Bolsonaro, dubbed the “Trump of the Tropics.” Or so he claims. There’s a lot more to this ridiculous and misguided trade war than hurt feelings and bad economics. It’s about Brazil’s leadership of the BRICS+ alliance that threatens to undermine Trump’s plan to personally become the central banker to the world.
Resources
Jeffrey Group: Brasil June 6th, 2025
IMF: IMF Staff Completes 2025 Article IV Visit to Brazil
OECD: OECD Economic Outlook, Volume 2025 Issue 1
Deloitte: Brazil economic outlook, March 2025
Al Jazeera: Trump’s hefty tariff on Brazil expected to push the country towards China
The Guardian - President Lula hits back as Trump tariffs threaten US-Brazil trade showdown
VoxDev: Understanding Brazil’s falling income inequality
PBS: Argentina secures IMF loan and ends most capital controls in key milestones for President Milei
MeidasTouch: Trump’s PANICKED MOVE delivers DEATHBLOW
Atlantic Council: The stablecoin race
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