US Imposes 25% Tariffs On Brazilian Imports: Here's What's Excluded

The additional duty applies to Brazilian goods entered for consumption, or withdrawn from warehouse for consumption, from July 22, 2026.

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USTR said it had removed high-purity dissolving pulp from the exemption list.
PTI

The United States has imposed a 25% tariff on nearly all imports from Brazil, according to a Federal Register notice published by the Office of the US Trade Representative (USTR) on Thursday, following a directive from US President Donald Trump.

Announcing the move on X, Secretary of State Marco Rubio said President Lula's government had "not negotiated with the US in good faith," adding that Lula "put his own ego ahead of making a deal for the welfare of the Brazilian people."

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When The Tariff Takes Effect

The additional duty applies to Brazilian goods entered for consumption, or withdrawn from warehouse for consumption, from July 22, 2026, the notice said.

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Goods already loaded onto a vessel and in transit before that deadline will have until July 29 to enter the US under existing rates.

Why The US Took Action

The tariff stems from a Section 301 investigation USTR launched in July 2025 into Brazil's practices concerning digital trade and electronic payment services, unfair and preferential tariffs, anti-corruption enforcement, intellectual property protection, ethanol market access, and illegal deforestation.

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USTR determined in June that these practices were "actionable" under the Trade Act of 1974, before President Trump issued a memorandum on July 15 directing the 25 per cent tariff, with certain exemptions. The notice said continued consultations with Brazil's government had "not satisfactorily resolved" US concerns.

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USTR said the decision followed over 360 public submissions and a two-day hearing on July 6-7 involving 77 witnesses, before the exemption list was finalised.

What's Excluded From The Tariff

According to the notice's exemption annex, products spared from the tariff include raw materials that could face domestic supply shortages if taxed, goods that could trigger economy-wide disruptions, and items unavailable in sufficient quantities from the US or other sources.

Also excluded are informational materials, donations, accompanied baggage, and goods already subject to Section 232 tariffs.

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Beyond the goods initially proposed for exemption in June, USTR said it had added aluminium hydroxide, antiques and art, animal hides and leather, certain seafood, additional pharmaceutical ingredients, wood products, iron and steel scrap, organic honey, pig iron, unflavoured instant coffee and used clothing to the exclusion list.

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Green and roasted coffee, orange juice, beef cuts, iron ore pellets and stone products also feature among exempted goods, the annex shows.

However, USTR said it had removed high-purity dissolving pulp from the exemption list, meaning it will now face the tariff.

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