Article written by Naiana Magrini and David Molinari.
The USTR (Office of the United States Trade Representative), the U.S. trade authority, has published new updates regarding the investigation conducted under Section 301 of the Trade Act of 1974 against Brazil. The investigation was initiated on July 15, 2025, and covers Brazilian practices related to digital trade and payment methods, including Pix, preferential tariffs, anti-corruption practices, intellectual property, access to the ethanol market, and illegal deforestation.
On June 1, 2026, the USTR concluded that certain Brazilian practices were unreasonable or discriminatory and would burden or restrict U.S. trade. As a result, it proposed imposing an additional 25% tariff on all goods originating in Brazil. The proposed measure has broad application, covering all Brazilian products, except for those expressly excluded in the report. Among the excluded products are, for example, beef and beef offal; vegetables and fruits; coffee; teas and spices; food preparations and beverages; minerals, ores, and fuels; metals and precious stones, such as gold, silver, platinum, palladium, and rhodium; computers and parts; and certain aeronautical items, such as aircraft engines, parts, and components.These products were excluded because they are considered strategic by the U.S. government.
The next milestones in the investigation focus on the public consultation phase: the deadline for requests to participate in the hearing was June 22, 2026; written comments may be submitted until July 1, 2026; and the public hearing will take place on July 6, 2026.
At the same time, there is an investigation into forced labor, launched on March 12, 2026, covering 60 countries, including Brazil. On this front, the USTR is assessing the absence or inadequacy of bans on the import of goods produced, in whole or in part, using forced labor.
On June 2, 2026, the USTR proposed an additional 12.5% tariff on products from the economies under investigation, including Brazil. Requests to participate in the hearing are also due by June 22, 2026; written comments must be submitted by July 6, 2026; and the hearings will begin on July 7, 2026, with an additional five-day period following the last day of the hearings for rebuttal comments.
These timelines indicate that the adoption of measures against Brazil could be formalized as early as the second half of this year, and in the worst-case scenario, they would amount to an additional 37.5% tariff.
