Lula calls American tariff hike “unacceptable blackmail”
In a national radio and television address this Thursday (Jul. 17), President Luiz Inácio Lula da Silva stated that he will respond to the Donald Trump administration’s threats to impose a 50 percent tariff on Brazilian products with diplomacy and multilateralism, calling the move “unacceptable blackmail.”
Without directly mentioning former President Jair Bolsonaro—whose Supreme Court ruling was cited in Trump’s recent letters to justify the tariff hike—Lula noted that institutions act to protect society from the threat of hate speech and anti-science rhetoric spread through digital networks.
“In Brazil, no one—no one—is above the law. We must protect Brazilian families from individuals and organizations that use digital networks to promote scams and fraud, commit racist crimes, encourage violence against women, and attack democracy. They also spread hatred, incite violence and bullying among children and adolescents—sometimes leading to death—and discredit vaccines, bringing back diseases that had long been eradicated,” the president declared.
Highlighting the independence of the Brazilian judiciary, the president said that he cannot interfere in decisions made by other branches of government.
“We have an independent judiciary. In Brazil, we respect due process and uphold the principles of the presumption of innocence, adversarial proceedings, and the right to a full defense. Any attempt to interfere in the Brazilian justice system is a serious affront to national sovereignty,” he added.
“Unacceptable Blackmail”
Lula emphasized that Brazil has always been open to dialogue and has been trying to negotiate with the United States since May, when the Trump administration imposed a 10 percent tariff on Brazilian products. The president called the use of false economic information to justify the US government’s threats “blackmail.”
“We held more than 10 meetings with the US government, and on May 16, we submitted a negotiation proposal. We expected a response, but what we received was unacceptable blackmail in the form of threats against Brazilian institutions and false information about trade between Brazil and the United States,” he declared.
Lula stated that the government is meeting with representatives from the productive sectors, civil society, and unions in an effort to negotiate with the United States. According to Lula, this is a major initiative involving various segments of the economy, including industry, commerce, services, agriculture, and labor.
The president emphasized that Brazil will respond to the Trump administration’s attacks through diplomacy, trade, and multilateralism. “We stand united in defending Brazil, and we will do so with our heads held high, following the example of every Brazilian who wakes up early, works hard, cares for their families, and helps Brazil grow. We will continue to invest in strong diplomatic and trade relations—not only with the United States but with all countries around the world,” he added.
Lula highlighted that, during the two and a half years of his administration, Brazil opened 379 new markets for its products abroad. He reaffirmed that the government can use all legal instruments to defend the economy, including appeals to the World Trade Organization and even the Reciprocity Law, which was approved by the National Congress.
“Country’s traitors”
The president expressed outrage over some political groups’ support for the Trump administration’s tariff attack.
“My indignation is even greater knowing that this attack on Brazil has the support of some Brazilian politicians. They are true traitors to the nation. They are betting on ‘the worse, the better.’ They don’t care about the country’s economy or the harm caused to our people,” he declared.
Big tech companies
The president added that the oversight of foreign digital platforms—one of the points Trump cited to justify the tariff imposition—aims to defend national sovereignty. He emphasized that all companies operating in Brazil are required to comply with Brazilian law.
“The defense of our sovereignty also applies to the operations of foreign digital platforms in Brazil. To operate in our country, all national and foreign companies must comply with the rules,” he emphasized.
Pix
Regarding the Trump administration’s complaints about Pix, Lula said that Brazil will not accept attacks on the country’s instant payment system, which he described as a national asset.
“Pix belongs to Brazil. We will not accept attacks on Pix, which is a heritage of our people. We have one of the most advanced instant payment systems in the world, and we will protect it,” he said.
Figures
The president presented figures to refute the US government’s allegations of unfair trade practices by Brazil.
“The first victim of a world without rules is the truth. Allegations of unfair Brazilian trade practices are false. The United States has maintained a robust trade surplus of $410 billion [with Brazil] for over 15 years,” he declared.
Regarding deforestation, which Trump used to threaten the country, Lula noted that Brazil is currently a global leader in environmental protection. “In two years, we have already halved deforestation in the Amazon, and we are working to eliminate it by 2030,” he stated.
“There are no winners in tariff wars. We are a country of peace, with no enemies. We believe in multilateralism and cooperation among nations. But let no one forget: Brazil has a single owner—the Brazilian people,” concluded Lula.
