Vice President and Minister of Development, Industry, Commerce and Services, Geraldo Alckmin, estimates that 35.9% of Brazilian exports to the United States may be affected if the measures announced by the US government are materialized, Already considering the approximately 700 products that were out of the 50% tariff list against Brazil.
When participating in the Mais Você, Rede Globo program, this Thursday (31), Alckmin said the government will act to alleviate its effects on the impaired sectors, especially to ensure job maintenance.
“We will defend the 35% of the exports that were affected. We will look at these 35% and preserve jobs, doing studies aiming at these more affected sectors,” he said.
In a letter sent to the Brazilian government on July 9, US President Donald Trump announced that Brazilian exports to that country would be taxed at 50% from August 1st.
This Wednesday (30), The US government softened the tone by postponing the start of taxation for August 6, in addition to present a list of about 700 exceptions, covering products that, if they were not available, could have a negative impact on that country’s economy.
>> Follow the channel of Brazil agency on WhatsApp
Products on the list include orange juice and pulp, fuels, ores, fertilizers and civil aircraft, including their engines, parts and components. Also out of the fare of wood pulp, pulp, precious metals, energy and energy products.
The list, however, does not include coffee, fruits and meat. All to be taxed by 50%.
“Sometimes you have a sector that 90% of it sells inward (domestic consumption) and exports 10% only. In this case, it is less reached. Now you also have sectors that export half of production. And within that half, 70% is to the United States. It is so much hit,” he added.
Flat
According to Alckmin, the government already has an action plan “practically ready”, focusing on preserving jobs and production.
“It is still under analysis because only yesterday were presented some details of the tariff.
He explained that President Lula will still beat the hammer, and that the plan will have some impact of a financial, credit, tax, but will not let anyone helpless.
“Firstly, we will fight to decrease those 35.9% that were actually reached by the 50% rate. We do not give it as a matter ended. The negotiation will grow. [com o último anúncio dos EUA]”, he said.
“Secondly, we will look for market alternatives; and third, we will support sectors that need support, such as fish, honey, fruits,” he added.
Alckmin said the government intends to broaden the list, including other fruits, as well as beef. “They had quoted the sleeve, for example. But apparently they forgot. Let’s remember them.”
New Markets
The focus, he reiterated, is to look for a market not to harm producers in order to avoid falling production due to lack of market.
“Brazil has, in round numbers, 2% of the GDP in the world. So 98% of the trade is out there. We have to run in the agricultural area. It is worth remembering that we opened 398 new markets. We are food, energy and climate protagonist,” he argued.
He added that after a long time of isolation, Mercosur closed great agreements recently with Singapore last year; and that this year should enter into force another agreement with the European Union.
“There will be 27 countries from the richest in the world, in this European Mercosur-Union Commercial. Apart from four with Norway, Switzerland, Iceland and Lichenstein, which are also rich but not in the European Union. These are agreements that will greatly help Brazilian foreign trade,” he added.
Sovereignty
Another issue highlighted by Alckmin during the program was sovereignty, something that, for the government, is unenforceable.
“Also because it is not possible to interfere with another. It is good to remember that President Lula was arrested for a year and a half and never wanted to overthrow democracy or the judiciary.”
Alckmin said Lula met yesterday with ministers of the Supreme Court, and that a document was prepared in response, reaffirming the separation between powers in Brazil; And that such external interference, such as the US attempted, goes against democracy and the rule of law.
“Imagine that the American Supreme Court had sued a former president [daquele país] and Brazil spoke that [por isso] It would increase the tariff of American products that came in here, just because they dislike the decision, ”asked the Brazilian vice president.
Also according to Alckmin, the government has kept conversations with US authorities and also with representatives of the calls Big techs (technology companies).
