Brazil's government on Tuesday welcomed a decision by Washington to allow Brazilian aircraft to enter the United States duty-free, down from 10% previously, amid recent changes to U.S. trade policy. The move benefits Brazil's aerospace sector, led by planemaker Embraer , which had faced a competitive disadvantage to rivals such as Canada's Bombardier and France's Dassault Aviation , whose jets already entered the U.S. tariff free.
Aircraft were Brazil's third-largest export to the U.S. in 2024 and 2025, the Ministry of Development, Industry and Foreign Trade said in a statement, highlighting the sector's high value added and technological intensity.
Following the latest tariff adjustments by Washington, the ministry estimated that about 25% of the country's exports to the United States, roughly $9.3 billion as of 2025, are now subject to a 10% global tariff, putting those Brazilian goods on equal footing with products from other countries.
Before the changes, around 22% of Brazilian exports to the U.S. market faced additional tariffs of 40% or 50%, the ministry said.
"In the agricultural sector, products such as fish, honey, tobacco and soluble coffee will also see tariffs fall from 50% to 10%, allowing them to compete under conditions equivalent to other international suppliers," the ministry said. The government had previously welcomed the U.S. Supreme Court ruling that struck down President Donald Trump's sweeping tariffs as it removed levies specifically targeting Latin America's largest economy.
According to the ministry, 46% of Brazilian exports to the U.S. in 2025 will no longer face any additional tariffs, while 29% remain subject to duties imposed under Section 232, affecting sectors such as steel, aluminum, wood, copper and furniture.
The United States is Brazil's second-largest trading partner after China, but unlike Brazil's large goods surplus with China, it has posted a deficit with the U.S. for years, totaling $7.5 billion in 2025, according to the ministry.
Source Name : Economic Times