Brazil Might Challenge Tariffs in US Courts

• Brazil Finance Minister Fernando Haddad said on Wednesday, August 27, 2025, that the South American country might challenge in U.S. courts the steep tariffs imposed by the Trump administration on U.S. imports of Brazilian goods. He also noted that Brazil would not engage in lobbying efforts.
• S. President Donald Trump slapped 50% tariffs on several Brazilian goods this month, citing what he called a "witch hunt" against former President Jair Bolsonaro - who is on trial on charges of plotting a coup - and trade practices he said were unfair.
• Brazil has expressed indignation at the tariffs, noting that it has run persistent trade deficits with the United States. Further, due to uncertainty about what the future may hold, Haddad believes that world leaders may feel insecure about the U.S.
• Finance Minister Haddad also noted that the U.S. dollar remains a reserve currency and will continue to be for many years; however, he cautioned that weaponising the dollar would undermine its role, adding that countries cannot be prevented from conducting bilateral trade in local currencies if that lowers transaction costs for them.

(Source: Reuters)