Brazil opens reciprocity process against US over tariffs

The Brazilian government has opened a process that could result in the adoption ​of reciprocal measures against the United States ‌in response to tariffs recently imposed by Washington on the country's goods, it said in a Thursday statement.

The U.S. government announced ​tariffs of 25% last month on some ​Brazilian goods, alleging unfair trade practices, as well ⁠as 12.5% tariffs on goods from dozens of nations, ​including Brazil, linked to allegations of lax enforcement of ​forced labor bans.

Thursday's preliminary step involves requesting further diplomatic consultations with U.S. trade authorities at a time when diplomatic relations between ​the two countries have turned increasingly sour.

"The U.S. tariffs ​are unjustified and arbitrary, and Brazil will continue to defend ‌its ⁠position in all appropriate forums," the government said on Thursday.

When the tariffs were announced in July, Brazilian President Luiz Inacio Lula da Silva promised to take ​the needed steps ​to invoke ⁠Brazil's "Reciprocity Law," which allows for retaliatory measures beyond tariffs on imports from the ​U.S., which officials see as likely to ​disrupt ⁠Brazilian supply chains or fuel domestic inflation.

Sources told Reuters in July that the government was reviewing options that included ⁠curbs ​on U.S. audiovisual companies and ​a suspension of pharmaceutical and agricultural patents.

- Reuters