Brazil reduces US tariffs and expands credit to

New US executive order benefits Brazilian exports.

Brazil celebrates progress in trade negotiations with the United States after President Donald Trump's executive order eliminated 10% of additional tariffs on strategic products from Brazil's export portfolio. The measure, announced this week, especially benefits coffee, meat, fruit juices, and products such as açaí, guava, pineapple, and bananas.

According to Vice President Geraldo Alckmin, the tariff reduction represents significant progress. With the new order, the percentage of Brazilian exports without additional tariffs increases from 23% to 26%, which corresponds to US$$ 9.4 billion to US$$ 10.3 billion in 2024 values.

Orange juice is the biggest beneficiary.

Among the products, orange juice benefited the most from the reduction. Alckmin emphasized that Brazil will continue negotiating to further reduce tariffs, especially on coffee, which maintains a rate of 40%. "We will continue working to reduce it further. Really, in the case of coffee, it doesn't make sense. It's still too high," stated the vice-president.

Government expands credit program for businesses.

In response to the impacts of the American "tariff hike," the National Monetary Council approved a resolution that expands the scope of the Brazil Sovereign program. The main change includes suppliers of exporting companies among the beneficiaries of the credit lines, available from November 24th.

The Brazilian National Bank for Economic and Social Development (BNDES) has already approved R$7.6 billion in loans for 535 operations requested by 134 large companies and 401 micro, small and medium-sized enterprises. There is also R$2.1 billion under analysis, totaling R$9.7 billion.

The states that benefited the most are São Paulo (R$ 2.2 billion), Rio Grande do Sul (R$ 1.2 billion), Santa Catarina (R$ 1.1 billion) and Paraná (R$ 900 million).

Brazilian exports are on the rise.

The news comes at a positive time for Brazilian foreign trade. In October, exports reached R$ 290 billion accumulated from January to October, a record. The month of October grew 9.1% compared to the previous period, demonstrating the robustness of the sector.