While former Brazilian President Jair Bolsonaro stated last night he was fully supportive of Donald Trump’s threats against Brazil (see separate slug), President Lula da Silva told an interviewer from Jornal Nacional reported by Correio Braziliense that he had no intention of making rash decisions in response to Donald Trump’s tariff threats. “I never make decisions when I have a 39° C fever,” he replied humorously.
Suggesting that Trump must be “very poorly informed,” he recommended the U.S. President consult the World Trade Organization (WTO) on his tariff policy, to learn that the U.S. actually doesn’t have a trade deficit with Brazil, as he falsely claimed. Lula did say that he’d like to negotiate with Trump, Reuters reported today, but if that doesn’t happen by Aug. 1, he will apply the Economic Reciprocity Law for incoming U.S. goods. This afternoon, Trump told White House reporters that he’d like to speak with Lula sometime, “but not now.”
The truth is, Lula said, that Trump’s actions are clearly political. He also raised the possibility that the “marvelous” BRICS, which just held its summit in Rio de Janeiro, might have influenced Trump’s decision to act against Brazil. Trump had earlier threatened to impose higher tariffs on BRICS members, whom he falsely accused of trying to destroy the dollar. He has no intention of giving in to Trump’s threats on tariffs, Lula said. If the 50% tariffs are applied to Brazilian products entering the U.S. on August 1, he’ll take the case to the WTO first and apply the Economic Reciprocity Law if there should be no resolution there.
“Brazil has no disputes with anyone,” the Brazilian President underscored. “We don’t want to fight with anyone, we want to negotiate. What we want is for Brazilian decisions to be respected. So if [Trump] keeps playing around with taxation, it’s going to be endless. We’ll reach millions and millions of percent in taxes.… There are some things a government can’t accept, which is the interference of one country into the sovereignty of another. Worse, the interference of a president of one country into the judiciary of my country.”
