Brazilian President Luiz Inácio Lula da Silva has said Donald Trump's threat to impose 50 per cent tariffs on South America's largest economy is "unacceptable blackmail." The feud between the Brazilian President and his US counterpart has taken a new turn after Lula launched a blistering attack on the US president for blackmailing the South American nation.
On July 9, Trump said he would be imposing steep tariffs on Brazil as punishment for what he termed a “witch hunt” against his far-right ally and ex-president Jair Bolsonaro. Unlike Bolsonaro, Lula has taken a different approach, placing more focus on the Asian bloc after it hosted the annual BRICS summit.
While the United States has said it was investigating Brazil’s “unfair trading practices,” Brasilia responded that it was open and committed to negotiations.
Tariffs on Brazilian products would begin on August 1 if Brasilia and Washington do not reach an agreement.
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In his latest speech, Lula slammed Brazilian politicians who back Trump's policies as "traitors to the homeland." He, in a strongly worded statement, said he would "bet on good commercial and diplomatic relations" but warned, "Brazil has only one owner: the Brazilian people."
Earlier on Thursday, Trump posted a letter on his Truth social, "I have seen the terrible treatment you are receiving at the hands of an unjust system turned against you.”
He added, "I have strongly voiced my disapproval both publicly and through our Tariff policy.”
Despite Trump’s intervention in the Bolsonaro case, Lula’s popularity has appealed for national unity in the face of US "interference." Brazil expressed "indignation" at the stiff proposed tariff in a letter addressed to US Commerce Secretary Howard Lutnick and Trade Representative Jamieson Greer.
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