Lula Says U.S. Tariffs Cut American Share of Brazil’s Trade to 9.2%
Lula says U.S. tariffs have reduced America’s share of Brazil’s global trade to 9.2%, while commerce with China and other partners has expanded. Speaking in Manila, he outlined plans to deepen trade ties with ASEAN.
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Speaking in Manila on Sunday after the opening of the 49th ASEAN Summit, Brazilian President Luiz Inácio Lula da Silva said Brasília had answered steep American duties by hunting for other buyers and suppliers rather than seeking relief from Washington.
Tariffs Drive Brazil’s Trade Shift
Lula said Brazil “learned an extraordinary lesson” after U.S. President Donald Trump imposed massive tariffs.
“Instead of crying or begging the American government to have pity on Brazil, we decided to look for other partners to sell to and buy from,” he said.
He said that after the tariffs, trade with the United States now accounts for 9.2% of Brazil’s global trade, and that the share has fallen.
According to Lula, commerce with China increased by almost 20%, while trade with Indonesia rose 15%, Germany 15.8% and Vietnam 13%.
He said trade had increased across 50 countries by an average of 10.5%. He did not specify the comparison period or the methodology behind those figures.
Lula argued that the episode showed “multilateralism is more effective than unilateralism.”
Trump Raises Tariffs on Brazil
In late July 2025, Trump imposed measures that raised tariffs on most Brazilian goods to 50%, taking effect around August 6.
Washington cited concerns related to the prosecution of former Brazilian President Jair Bolsonaro and other issues framed as a national emergency.
Lula had vowed retaliation at the time. The package included exemptions for civil aircraft, certain energy products and orange juice.
Brazil Looks to ASEAN for Markets
Lula attended the summit as a guest of Philippine President Ferdinand Marcos Jr., on the first visit by a sitting Brazilian head of state to the Philippines as they mark 80 years of ties.
He had arrived from COP31 in Antalya, Türkiye.
Brazil and ASEAN recorded $38.4 billion in trade in 2025, making the bloc Brazil’s fifth-largest trading partner.
Lula said he wants to double that exchange. Brasília is also seeking a full ASEAN Dialogue Partnership in 2027, when Singapore holds the bloc’s presidency, Foreign Minister Mauro Vieira has said.
During the visit, Lula met Marcos and signed memoranda on agriculture and competition policy. He also met Canadian Prime Minister Mark Carney and Singapore’s Lawrence Wong.
Brazil Pushes Batteries and Chips
Lula tied the search for new partners to a push for domestic manufacturing.
“We want to produce batteries in Brazil, produce chips in Brazil, because Brazil no longer wants to be an exporter of raw materials or commodities,” he said.
“Brazil wants to be an exporter of knowledge and intelligence,” he added, saying the country “has the potential to make that leap forward.”
He invited foreign governments and companies to invest in Brazil’s critical minerals, provided that industrial value stays in the country.
Kamer Kurunç
Kamer Kurunç is the Team Leader of Clash Report and has led the outlet for four years. He oversees its breaking world news coverage, from the Middle East and the Russia-Ukraine war to defense and global politics. His focus is fast, verified, source-based reporting. Follow him on X at @kamerknc.
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