Alckmin: 'If it's up to us, the US tariff hike will end tomorrow'

The vice-president and minister of Development, Industry, Commerce and Services (MDIC), Geraldo Alckmin , said this Saturday, 23, that he still sees room for the Brazilian government to reach an agreement with the United States to reduce the high tariffs imposed by the Americans on the country's products .

"If it's up to us, it'll be over tomorrow. I think we have room to reach a good understanding," he said in a press conference during a visit to a car dealership in São Paulo.

When asked about the possibility of compensation, such as a reduction in the import tariff on ethanol from the United States, the vice president highlighted that several non-tariff barriers are being eliminated and indicated that Brazil is willing to engage in dialogue.

"You mentioned ethanol: we've released CBIOs to American companies, so they can also purchase them here. Furthermore, there are other possibilities for agreement: strategic minerals, biofuels, SAF," he stated.

Alckmin, however, sought to emphasize that Brazilian tariffs on imports of American products are already quite low.

"It's always good to remember: Brazil's average tariff for the United States to enter here is 2.7%. It's not 50%, nor 40%, nor 30%. It's 2.7%," he stated. "Of the ten products that the United States exports most to us, eight have zero tariffs. There's always room for compromise," he added.

The vice president also reported progress in negotiations with the United States, citing the removal of steel and aluminum products from the surcharge list. "The Commerce Department said that everything containing steel and aluminum will be removed from the 'quad-band' and placed under Section 232, which is the same rate for us and the entire world. This helps competitiveness," he explained.

He also highlighted measures to support Brazilian companies affected by the US tariff hike through a contingency plan. "Yesterday, the BNDES announced an additional R$10 billion in credit . It was R$30 billion, now it's up to R$40 billion. We're going to serve more companies, including those that don't export much," he said.

Mexico

Alckmin also announced that he will travel to Mexico next week to expand trade with the country. His focus is on strategic sectors such as biofuels, energy, sustainable aviation fuel (SAF), agribusiness, healthcare, and visa facilitation.

"I'm going to Mexico on Tuesday. We have a significant trade flow: last year, we exported R$7.8 billion to them, and they exported R$5.8 billion to us. We can grow this trade flow," he said.

According to Alckmin, the implementation of an electronic visa for citizens of both countries is also on the agenda. "Mexicans entering Brazil will be able to obtain an electronic visa, and so will we. Ultimately, we're strengthening trade, which generates jobs and income," he said.