In a bold move, former U.S. President Donald Trump has imposed steep tariffs and sanctions on Brazil and announced new tariffs on India, escalating tensions with two of the world’s largest democracies.
Trump Hits Brazil With 50% Tariffs and Sanctions
On Wednesday, the U.S. slapped a 50% tariff on certain Brazilian goods—two days earlier than expected—and issued sanctions against Alexandre de Moraes, a Brazilian Supreme Court justice. De Moraes is overseeing the criminal case involving Trump’s close ally, former President Jair Bolsonaro.
The tariffs are the steepest Trump has imposed this year, though they don’t apply to major Brazilian exports like airplanes, oil, or orange juice. The sanctions on Moraes, using strong human rights laws, mark a rare and aggressive move.
Trump claims Brazil’s government is politically persecuting Bolsonaro and silencing conservative voices online. In an executive order, he said these actions threaten U.S. national security, foreign policy, and the economy.
Brazil’s current president, Luiz Inácio Lula da Silva, fired back, accusing Trump of violating Brazil’s sovereignty. In a recent interview, Lula challenged Trump to separate politics from trade:
“If he wants a political fight, let’s keep it political. If he wants to talk trade, let’s sit and talk. But don’t mix the two.”
India Targeted With 25% Tariffs Over Russia Ties and Trade Barriers
Trump didn’t stop with Brazil. On the same day, he announced that Indian imports will face a 25% tariff starting Friday, criticizing India for trade restrictions and its ongoing business with Russia.
Trump pointed out the U.S.’s growing trade deficit with India and called out the country’s energy deals with Moscow amid the war in Ukraine.
“India is Russia’s biggest energy buyer, along with China,” Trump said on Truth Social, adding that India’s high tariffs are hurting American businesses.
This tariff increase is higher than those imposed on other Asian countries like Japan and Vietnam. It’s also likely to impact India’s booming manufacturing sector, especially as it becomes a key alternative to China for electronics and pharmaceuticals.
India’s commerce ministry responded cautiously, saying it is evaluating the announcement and remains committed to a fair and mutually beneficial trade deal.
Bigger Picture: Trade Wars Heat Up
Trump is preparing to raise tariffs globally, putting pressure on countries to finalize trade deals. While the EU and Japan have made some progress, nations like Brazil, India, Mexico, and Canada haven’t signed agreements yet.
Despite his tough talk, Trump called Indian Prime Minister Narendra Modi “a friend”, but insisted that India’s high tariffs are unacceptable.
With these moves, Trump has sent a clear message: countries that don’t align with his trade or political views may face serious economic consequences.
Key Takeaways:
- Trump imposed 50% tariffs on Brazil and sanctioned a top Supreme Court justice.
- He accused Brazil of persecuting his ally Bolsonaro and censoring conservatives.
- Trump also hit India with 25% tariffs, criticizing its trade practices and ties to Russia.
- India is reviewing the move but still hopes for a balanced trade agreement.
- Global tariffs are set to rise Friday unless countries sign deals with the U.S.
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