In an interview with a local television station on the 4th, Brazilian President Temel said that the United States’ announcement of a tariff on imported steel and aluminum will have a serious impact on Brazilian related industries, and the Brazilian government hopes to resolve this issue through consultation.
Temer stated that the United States is an important importer of steel products in Brazil and that the U.S. government’s move will have a serious impact on Brazilian steel producers.
According to data from the Brazilian Iron and Steel Metallurgy Association, the US steel and aluminum tariff measures may reduce the Brazilian steel exports by about 60%.
Temel said that the Brazilian government wants to maintain consultations with the United States. Temer stated that the U.S. government has repeatedly postponed the exemption period for steel and aluminum tariffs, providing further consultations.
On March 8th this year, US President Trump announced that it will impose tariffs of 25% and 10% on imported steel and aluminum products, and tariff measures will come into effect on March 23. On March 22, the White House agreed to temporarily waive steel and aluminum tariffs on the European Union, Argentina, Australia, Brazil, Canada, Mexico, and South Korea until May 1. The White House announced on April 30 that the U.S. government has reached a principled agreement with Brazil on steel and aluminum tariffs, but the Brazilian Ministry of Foreign Affairs and the Ministry of Industry, Foreign Trade, and Services issued a joint statement on the 2nd that the U.S. has recently unilaterally notified the Brazilian government to stop the Aluminum tariff negotiation process.