US President Donald Trump on Wednesday threatened Brazil with a crippling tariff of 50% starting August 1, according to a letter he sent to the country’s president, Luiz Inácio Lula da Silva.
In the letter posted on Truth Social, Trump alleged Lula is undertaking a “Witch Hunt that should end IMMEDIATELY!” over charges against its right-wing former president, Jair Bolsonaro.
Bolsonaro, who has bragged about his closeness with Trump, is facing trial for allegedly attempting to stage a coup against Lula.
Lula vowed to reciprocate if Trump follows through with his threat.
“Brazil is a sovereign nation with independent institutions and will not accept any form of tutelage,” Lula said in a post on X.
“Any measure to increase tariffs unilaterally will be responded to in light of Brazil’s Law of Economic Reciprocity,” he added.
This marks the first time in months another country has threatened to match Trump’s tariff threat.
Brazil exported $40.4B worth of the goods to the US last year, with crude oil topping the list.