São Paulo, Aug 12 (HS) : A planned high‑level virtual meeting between Brazil’s Finance Minister Fernando Haddad and US Treasury Secretary Scott Besant has been abruptly canceled, deepening the rift between the two nations over Washington’s steep tariff hikes on Brazilian exports.
The meeting, originally scheduled for Wednesday, was meant to address the 50% import duties recently imposed by the Trump administration on a range of Brazilian goods. Minister Haddad confirmed late Monday that no new date has been set — despite Brazil’s formal request to reschedule — lamenting that his country wasn’t even given “a seat at the table” to present its case.
“It is regrettable that we didn’t even get the opportunity to engage in dialogue,” Haddad told GloboNews TV, accusing certain “pseudo-Brazilian” lobbyists in Washington of working against national interests.
Political Undercurrents
The tariff escalation is widely seen in Brasília as linked to ongoing legal proceedings against former Brazilian president Jair Bolsonaro and his right‑wing allies over alleged attempts to overturn the 2022 election results. Bolsonaro’s son and federal deputy, Eduardo Bolsonaro, has been residing in the US since March, lobbying for sanctions against those he deems responsible for the prosecution of his father.
Pivot to New Markets
In response to Washington’s hardline stance, Haddad signaled a strategic shift, saying Brazil will aggressively court opportunities in Southeast Asia and fast‑track negotiations on the pending Mercosur–European Union trade deal to cushion the economic shock.
Multi‑Pronged Relief Plan
The Brazilian government is preparing an executive order to mitigate the blow for an estimated 10,000 affected companies.
Planned measures include:
– Overhauling the Export Guarantee Fund (FGE) to strengthen exporters’ protection
– Select adjustments in government procurement policies
– Targeted credit facilities for impacted industries
Haddad stressed that “there is no single silver‑bullet solution — this requires a multi‑layered economic response.”
The Bottom Line
The scrapped meeting marks a fresh low in Brazil–US trade relations, with political tensions bleeding into economic diplomacy. Brasília now appears poised to diversify away from over‑dependence on US markets, pursuing new trade alliances while shielding its domestic industries from punitive tariffs.
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Hindusthan Samachar / Jun Sarkar
