This policy shift follows the Supreme Court’s recent invalidation of previous tariff frameworks, forcing a reliance on Section 301 of the Trade Act. The USTR has already launched nearly 80 investigations, signaling potential trade friction with China, the European Union, and Mexico.
Brazilian President Luiz Inacio Lula da Silva rejected the move, labeling the tariffs as entirely unjustified. Conversely, U.S. officials maintain that Brazil failed to negotiate in good faith, leaving little room for diplomatic reconciliation. Both governments are now bracing for a protracted legal battle within the World Trade Organization to contest the legitimacy of these levies.





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