Brazilian Finance Minister Henrique Meirelles said that the country is to consider talks with the US on the 25% tariffs on imported steel, a measure signed Thursday (Mar. 8) by President Donald Trump.
“The government signed that; it should be in effect in 15 days, but they’re saying they’re open to negotiation. We just have to know what sort of negotiation this is; what they’re willing to negotiate. The issue will be considered bearing in mind what Brazil has to win or lose,” Meirelles said in New York, where he is taking part in an event aimed at drawing foreign investment to Brazil.
In his view, the decision made by the US government is detrimental to all parties involved. “It benefits steel production and protects the employment of a group of workers in steel-producing companies. But it’s harmful, it takes the jobs of industrial companies using steel or aluminum; companies that lower their international competitiveness for having more expensive supplies.”
The Brazilian government released a note on Thursday (8) stating that the decision by the US government should cause “significant losses” in Brazil, and make an impact on “trade and investment ties between the two nations.”
Altogether, 32% of the steel exported by Brazil is bound for the US, which makes Brazil second only to Canada in steel exports to the US. In 2017 alone, 4.7 million tons of Brazilian steel were shipped to the US, which totaled $2.6 billion in revenues.
Translated by Fabrício Ferreira