Record Brazil-US trade defies tariff logic

Trade between Brazil and the United States reached a record high in the first quarter of this year, reinforcing Brazilian opposition to the tariff policy promoted by the US administration under Donald Trump.

Two-way trade totaled US$20bn, a 6.6% increase compared with the same period 2024 and the highest figure on record for the quarter, according to the Brazil-US chamber of commerce (Amcham Brasil).

During the period, the US posted a trade surplus of US$654mn with Brazil.

"The results from the first quarter of 2025 underline the quality and mutually beneficial nature of the trade relationship between Brazil and the United States. The companies involved in this relationship are eager to further expand bilateral trade and investment," Abrão Neto, president of Amcham Brasil, said in a statement.

The increase in bilateral trade comes amid a wave of tariffs imposed by the US president on nearly all countries in a bid to reduce the significant trade deficits the United States has recorded in recent years – particularly the imbalance with China.

"The figures released by Amcham highlight how misguided the tariffs imposed by Trump this year are, as they affect all countries, even those with which the US has a trade surplus, such as Brazil," Mário Sérgio Lima, an analyst at Medley Global Advisors, told BNamericas.

"If the US government insists on using a tariff policy indiscriminately against all countries, attempting to force submission from its trade partners, this will go very wrong, because all the other countries will start looking for alternatives to the US market, which is already happening," added Lima.

At the beginning of April, Trump announced sweeping tariffs, though he has since reversed some of them in response to growing pressure from US business sectors.

The US imposed overall tariffs of 10% on Brazilian exports, and 25% on steel, aluminum and auto parts.

"Amcham Brasil emphasizes the importance of maintaining a predictable, transparent and constructive trade environment, guided by dialogue between the public and private sectors," the association said.