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Brazil arms itself for trade war

Senator Tereza Cristina tweaked a bill aiming at the EU to give Brazil instruments to retaliate against Trump’s incoming tariffs. Photo: Valter Campanato/EBC

Sometime today, the Donald Trump administration in the US is set to announce a raft of new “reciprocal tariffs,” a part of what the American president has called “Liberation Day.” 

Driving the news. A day before the US unveils its tariff plan, the Brazilian Senate passed sweeping new legislation giving the government broad powers to retaliate against trade barriers — including suspending intellectual property rights. Lawmakers have treated it as Brazil’s boldest move in decades to protect its exporters.

👉 Why it matters. Brazil said it would take trade war matters to the World Trade Organization. However, with the WTO increasingly sidelined, the country is opting for self-defense.

Congress. The Senate fast-tracked the so-called “Retaliation Bill” in a unanimous vote in the Economic Affairs Committee that featured the unlikely alliance of pro-Lula and pro-agro lawmakers. The House wants to approve the bill later today, allowing Brazil to:

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