Brasil: Donald Trump's Tariffs On Brasil Are More Bark Than Bite

Donald Trump’s tariffs on Brazil are more bark than bite The Latin American giant may have avoided the worst—for now Save Share Summary A demonstrator holds an image of U.S. President Donald Trump with red horns during a protest against the tariffs on Brazilian products imposed by Trump. Photograph: Reuters Aug 8th 2025 | 4 min read When Donald Trump first announced his tariff barrage on April 2nd, it was pitched as payback against countries that had “looted” and “pillaged” the United States through trade. But when the latest round of levies came into force on August 7th, Brazil, a country which imports more from the United States than it exports to it, was hit with a rate of 50%, one of the steepest in the world. The reason was not economic. Mr Trump is incensed that his ally, Jair Bolsonaro, Brazil’s hard-right former president, is on trial, accused of plotting a coup. The tariffs, he claimed, were a response to that “witch hunt”. Brazil was not the only country targeted for political reasons. India faces a comparable rate for buying Russian oil. Mr Trump warned Mark Carney, Canada’s prime minister, that recognising a Palestinian state would make trade negotiations “very hard”. Brazil’s case, though, is the clearest yet of Mr Trump using trade as a cudgel to interfere in another country’s affairs. President Luiz Inácio Lula da Silva (known as Lula) has responded with defiance. He says Brazil will not be “tutored” by foreign powers, nor “humiliate” itself before an unwanted “emperor”. Yet he has stopped short of retaliation. Instead, significant relief has come from Brazilian firms and their customers in the United States lobbying the administration directly. Mr Trump blinked. The tariffs now in place against Brazil exempt nearly 700 products, including planes, oil, wood pulp and orange juice. Exporters of coffee, beef and fruit were not so lucky. Lula has declared a victory for “sovereignty” and received a modest bump in the polls. Even before the exemptions, the impact of Mr Trump’s tariffs on Brazil’s economy seemed likely to be limited. The largest economy in Latin America is relatively closed. Its exports were worth less than a fifth of GDP last year, compared with more than a third in Mexico, and over 70% in open Asian economies like Vietnam and Thailand. Brazil is also far less dependent on the United States than it once was. Just 13% of its exports are exposed to Mr Trump’s levies, down from a quarter two decades ago. Meanwhile, the share going to China has surged nearly six-fold to 28% (see chart). Chart: The Economist The exemptions soften an already light blow. Nearly half of Brazil’s exports to the United States will be spared, estimates TS Lombard, an investment-research firm. As a result, Itaú Unibanco, a Brazilian bank, expects the effective tariff rate to be around 30%. Goldman Sachs has kept its GDP growth forecast for this year unchanged at 2.3%, citing the “notable” exemptions. Some sectors will feel the pinch. Coffee is among the worst affected. Brazil ships almost half a million tonnes of beans to the United States each year, accounting for 16% of its coffee exports. The effect is already visible: shipments in July were down by a third from a year earlier, as importers delayed orders amid uncertainty. Cecafé, a coffee-producers’ trade body, warned of a “significant” impact on Brazilian roasters and traders. The beef industry will also suffer. Nearly 17% of Brazil’s beef exports went to the United States last year, and shipments have already slumped over the past few months. Fruit exporters—particularly of mangoes, açaí berries and other tropical fruits—face similar disruption. Yet even these sectors may prove resilient. Brazil has steadily diversified its markets in recent years, and the most affected exports are commodities that can be redirected quite easily. The European Union remains the biggest buyer of Brazilian coffee. Sales to East Asia and the Middle East and North Africa rose by 25% and 61% respectively last year. Trade with China continues to grow. It already buys most of Brazil’s beef and, on August 2nd, approved imports from 183 new Brazilian coffee firms. Some losses may also be absorbed through state support. Lula’s government has pledged targeted relief, including purchases of surplus stock from affected producers. Finally, there is hope that the tariffs could be eased. Rising prices in the United States could put pressure on the White House to change course. The bigger risk may lie in what Lula does next. On August 6th he said he would consult other members of the BRICS—a group of 11 emerging-market economies which includes India and China—on ways to counter Mr Trump’s tariffs. That could well prompt an escalating trade war. Mr Trump has already labelled the group “anti-American”. He threatened an additional 10% tariff on its members’ goods during the BRICS’ summit in Rio last month. As president-elect, he floated a 100% tariff if they sought to ditch the dollar for trade settlement. Confronting Mr Trump can be politically useful. Mark Carney’s tough talk helped propel him and his Liberal Party to an unlikely victory in Canada’s recent general election. Lula’s own poll numbers have been rising since Mr Trump began targeting Brazil, and Lula started framing himself as a defender of Brazil’s sovereignty. The damage the tariffs do to Brazil will probably be constrained. Lula should probably keep reaping the benefits of being attacked by Mr Trump, and try to avoid turning it into a bigger fight. ■ Sign up to El Boletín, our subscriber-only newsletter on Latin America, to understand the forces shaping a fascinating and complex region.

Ecuador Declares A New State Of Emergeny

Ecuador Declares New State Of Emergency, Plans New Referendum Ecuador Ecuadorean President Daniel Noboa declared a 60-day state of emergency in four coastal provinces this week following a surge in gang-related violence that has intensified since the recent extradition of a major gang leader to the United States, MercoPress reported. The decree will apply to the provinces of El Oro, Guayas, Los Ríos, and Manabí, and is the latest in a series of similar declarations by Noboa to fight the unprecedented security crisis that has made Ecuador one of the most violent countries in Latin America. The measure suspends the rights that had hindered searches of homes and the monitoring of communications, and allows the military and the police to conduct joint operations. The country’s constitutional court will review the measure, with observers saying the process comes amid ongoing tensions between the president and the court over using such tools to combat crime. The decree came less than 48 hours before a deadly attack in El Oro over the weekend, when about 60 armed men opened fire on a boat and launched explosives at its occupants. Local media reported at least four deaths and more than a dozen people missing, the Associated Press added. Ecuador’s navy said the attackers attempted to flee in three boats but only one escaped. But no arrests have been made, and authorities have not commented on the incident. On Sunday, a shooting at a nightclub in the Guayas province killed eight people, CBS News wrote. Authorities said the suspects were heavily armed and riding motorcycles, but did not say what prompted the shooting. Noboa, who was reelected in May, has pledged to combat drug trafficking and violent crime in the South American nation. In 2023, Ecuador recorded about 8,000 killings, with the figure falling to under 7,000 last year. However, officials said violence has risen again this year, with 4,619 killings reported from January to June. The new state of emergency comes less than a month after Ecuadorean authorities extradited infamous gang leader Adolfo Macias Villamar, also known as “Fito,” to the United States, Al Jazeera noted. Fico stands accused of international drug trafficking and weapons smuggling. His extradition came shortly after he was recaptured in June following an escape in 2024 from a maximum-security prison. Alongside the emergency measures, Noboa proposed a referendum with seven constitutional amendments, including authorizing foreign military bases, introducing labor and casino reforms, and allowing the impeachment of constitutional court members. Analysts cautioned that the proposed amendments could reshape the balance of power and erode Ecuador’s fragile democracy.

Why Is Argentina So White?

Profile photo for Folklore Folklore · Follow Knows GermanApr 6 Why is Argentina so white? I went to cities like Rosario, Bariloche, and Posadas and saw almost just white people. What happened? I’m from Córdoba, Argentina. Basically what happened is that there wasn’t a huge native civilization in Argentina like the Incas or the Aztecs, and the natives that were in Argentina some even were white: Spanish conquistadors said they resembled Spaniards from the south of Spain or even vikings, they had beards, etc. On top of that Argentina always wanted to be the best, civilized country in the world, so they made policies to encourage massive European immigration to Argentina, and it worked: millions of white Europeans from Spain, Italy, Germany, Russia, Poland, Britain, Ireland, etc., migrated to Argentina so the obvious result was a pretty white country.

South American Soldiers Leaving South America to Go TO Ukraine's Army for Higher Pay

South American soldiers head to Ukraine frontline for better pay By Ethan Evans, 1 days ago Ukraine's Armed Forces has welcomed recruits from 72 different nations, with nearly 40% originating from South America, according to reports. Kostiantyn Milevskyi, the officer overseeing foreign enlistment coordination, says this figure demonstrates a growing international presence in the country's defense efforts against Russia's attempted invasion. Speaking to hromadske, a Ukrainian independent media outlet, he detailed how foreign recruitment has surged dramatically since the initial stages of Russia's assault. Statistics show they were accepting between 100 to 150 international volunteers monthly in 2022, but this figure has since climbed substantially to around 600. The Ukrainian government has facilitated this growth by funding travel expenses for incoming international volunteers and providing temporary residence permits, reports the Express. Milevskyi stated: "We can say that the percentage of foreign nationals in the Armed Forces of Ukraine has increased, this has been influenced by the launch of our Foreign Recruitment Center." Hromadske reports that over 8,000 foreign nationals have enlisted in the Ukrainian Armed Forces, with the total count across all military branches likely reaching double that amount. Specific countries of origin remain classified for operational security purposes, though Milevskyi did acknowledge that significant numbers have arrived from Colombia. He said: "They've openly admitted many times that the level of pay in the Armed Forces of Ukraine is currently much higher than in their home militaries. "But these are also people with military experience, and they want to continue doing what they've been trained for, further developing their skills here, and, of course, to earn a decent wage." Ukraine has been in a state of conflict with Russia since 2014 Meanwhile, a summit between Russian President Vladimir Putin and US President Donald Trump has been arranged, according to a Kremlin official, and could potentially occur next week at a location that has been determined "in principle". "At the suggestion of the American side, it has been agreed in principle to hold a bilateral meeting at the highest level in the coming days," Mr Putin's foreign affairs adviser Yuri Ushakov told reporters. Next week serves as the target timeframe for a summit, Mr Ushakov stated, while acknowledging that such gatherings require time to coordinate and no date has been finalized. A summit between Mr Putin and Mr Trump would mark their first encounter since the Republican president resumed office this year. It would represent a major development in the conflict, though there is no guarantee such a meeting would result in the cessation of hostilities, since Russia and Ukraine remain deeply divided on their respective terms. 452

Colombia Accuses Peru Of Annexing A Disputed Island In The Amazon

Colombia Accuses Peru of Annexing a Disputed Island in the Amazon Colombia Colombian President Gustavo Petro this week accused the country’s South American neighbor, Peru, of unilaterally annexing Santa Rosa Island in the Amazon River, reviving a long-standing disagreement between the two neighboring countries over sovereignty and river border demarcation, Al Jazeera reported. Colombia’s reaction followed a vote in Peru’s Congress in June, which turned Santa Rosa Island into its own district within Peru’s northeastern Loreto province. Peru argued that it acted in accordance with international law and that the move was necessary to ensure Santa Rosa received public funding and could collect taxes. According to Petro, Peru’s claims to the island could cut off the southern Colombian city of Leticia, home to 60,000 people, from accessing the Amazon River, disrupting travel and trade. Colombia and Peru have been debating over the control of Santa Rosa Island for nearly a century. Peru claims control based on treaties from 1922 and 1929 and has administered the territory for decades, the Associated Press noted. Colombia, however, insists that Santa Rosa is not subject to those treaties as it had not yet emerged from the Amazon River when they were signed. It also argued that the treaties define the border between the two countries along the deepest part of the Amazon River and that newly formed islands like Santa Rosa have appeared on the Colombian side of that boundary. The Amazon River, one of the longest waterways in the world, carries more water than any other river. Its strong currents constantly shift sediment across the basin, causing islands to form or disappear over time. Santa Rosa is one of these islands, showcasing forests, farmlands, and the village of Santa Rosa de Yavarí, which has fewer than 1,000 residents. The local economy relies on tourism due to the Island’s location along the Amazon.

El Salvador Grows Close To The US

Imprisoner-in-Chief: As El Salvador Grows Closer to the US, It Cracks Down at Home El Salvador In exchange for imprisoning migrants deported from the United States, El Salvadoran President Nayib Bukele allegedly asked American officials to extradite top leaders of the MS-13 gang who are currently in American prisons to El Salvador. The deal was part of an American effort to expel more than 200 Venezuelans to a maximum-security prison in the small Central American country, the infamous Terrorist Confinement Center (CECOT). The US paid El Salvador $6 million to house the migrants but Bukele offered a 50 percent discount if American President Donald Trump would send the MS-13 leaders. At the same time, federal prosecutors have convinced federal courts to dismiss charges against MS-13 leaders to clear administrative hurdles to returning them to El Salvador, Politico wrote. Critics at the Guardian described the move as Trump doing a “favor” for Bukele, whom he has called “one hell of a president.” Meanwhile, Bukele, who has put 85,000 citizens of his country in jail under a crackdown on crime, has been accused of making deals with criminal gangs to improve public safety and secure his position, the Hudson Institute explained. In doing so, he did win the gratitude of many El Salvadorans who say they can now live in peace. That heralded peace may last longer than the Constitution had originally allowed. Last year, Bukele violated term limits to run for a second term. Now, lawmakers have approved constitutional changes that will allow indefinite presidential reelection and extend presidential terms to six years. Like Trump, Bukele embraces a strongman image. He and Trump publicly rejected any assertion, for example, that the US mistakenly deported an American citizen to El Salvador. The US Supreme Court disagreed, however, saying the transfer of Kilmar Armando Abrego Garcia to El Salvador was unlawful, though he still may face criminal charges in the US. Despite the setbacks, El Salvador and the US have used the migrant crisis as an opportunity to develop security, intelligence, and military ties between the two countries, too, added Mother Jones magazine. Bukele has deployed Israeli-made Pegasus spyware to muzzle journalists, dissidents, and others who oppose his administration, for example. He has intensified that crackdown on opponents. “Salvadoran President Nayib Bukele has never concealed his autocratic tendencies… unabashedly (referring) to himself as the world’s coolest dictator, but since enjoying the firm embrace of US President Donald Trump, Bukele has grown emboldened,” wrote World Politics Review. “(Since May), he has intensified his crackdown on critics and accelerated his efforts to suppress dissent, turning the screws on human rights organizations, journalists and civil society at large.” Recently, Bukele’s government arrested one of the country’s most prominent human rights activists, forced its most heralded human rights group to leave the country, enacted a “foreign agents” law that resembles those in Russia and Nicaragua to weaken civil society, and threatened lawyers and journalists, prompting more of them to flee into exile out of fear of being imprisoned. That’s because CECOT is likely one of the worst places on the planet, say those who have experienced it firsthand. Venezuelans released from CECOT and other El Salvadoran jails have shown bruises, rubber bullet wounds, and other injuries, the Organization for World Peace continued. Conditions included sexual violence, excessive solitary confinement, spoiled food and water, and no contact with lawyers or family. Some were disappeared. CECOT “seemed like it was for animals,” detainee Julio Fernández Sánchez, 35, told the Washington Post. “It was designed for people to go crazy or kill themselves.” Venezuelan officials under their dictatorial socialist government are now investigating allegations of torture in CECOT and other El Salvadoran prisons that have housed Venezuelan inmates, Consortium News noted. So is an international panel, which will determine whether to refer it to the International Criminal Court. CECOT’s officers are extremely cruel, say human rights officials and inmates. Formerly consigned to CECOT after Immigration and Customs Enforcement (ICE) officers raided a house in North Carolina, the recently released Venezuelan musician Arturo Suárez-Trejo said he was beaten for singing in an effort to maintain his humanity and cheer up his cellmates, wrote El País. “I spent my time singing,” he told the newspaper, adding, “and that way I brightened my life a little and made it brighter for everyone else.”

Peru: Ruins of A 3,500-Year-Old City Found Near Lima

Old City, New Clues Archeologists recently unveiled their discovery of an ancient city in Peru’s northern Barranca province, a find that shed light on the Americas’ oldest known civilization, the Caral. The city, named Peñico, is 3,500 years old, and researchers think it was an important trade center linking early Pacific coastal communities with populations in the Andes and the Amazon basin. “The (Peñico community) was situated in a strategic location for trade, for exchange with societies from the coast, the highlands and the jungle,” lead archeologist Ruth Shady told Reuters. Peñico is about 125 miles north of Peru’s capital, Lima, at almost 2,000 feet above sea level. It was likely founded between 1,800 and 1,500 BCE. At around the same time, early civilizations were flourishing in the Middle East and Asia, the BBC explained. After eight years of digging, the team uncovered 18 structures, ranging from ceremonial temples to living quarters. Researchers’ drone footage captured a circular structure perched on a hillside terrace at the city’s center, encircled by remnants of stone and mud buildings. The walls of the central plaza are notable for their sculpted reliefs, including images of the pututu, a conch shell trumpet known for its ability to project sound over long distances. In other buildings at the site, archeologists found more ceremonial objects, clay sculptures of humans and animals, and necklaces made from beads and seashells. Peñico is located near the city of Caral in the Supe Valley of Peru, where the Caral civilization was established 5,000 years ago. The city of Caral contains 32 monuments, including large pyramid structures, advanced irrigation agriculture and urban settlements. The civilization likely developed on its own, without contact or influence from other early ancient civilizations like those in India, Egypt, China, Sumer in Mesopotamia, or present-day Iraq. Shady, who had already participated in the excavation on Caral in the 1990s, said that the discovery of Peñico is an important clue to what happened to the Caral civilization: Experts believe the city emerged as the Caral civilization began to abandon its major urban centers after nearly 1,000 years of habitation. While researchers are not certain why the Caral civilization disappeared, they believe factors such as climate change and internal strife played a role in their decline, the Smithsonian Magazine noted.