U.S. President opposes key government priorities like social media regulation and taxing the ultra-wealthy
01/27/2025
Donald Trump’s first week back in the White House has already signaled challenges ahead for the Planalto Palace in advancing several priorities of President Lula’s foreign policy agenda.
Key initiatives such as the Global Alliance Against Hunger, a proposal to tax the ultra-wealthy, a climate financing deal at COP30, the push for de-dollarizing international trade, and social media regulation to combat fake news face weakened prospects—or outright threats—under the Republican leader’s administration. On the other hand, Brazil may attract more investments in renewable energy, given Mr. Trump’s preference for fossil fuels.
Mr. Trump’s nationalist and protectionist stance and his alignment with far-right movements and big tech companies are expected to clash with Brazil’s goals on multiple fronts.
Social media regulation and the fight against fake news are central to Lula’s administration. Mr. Trump, however, has openly opposed any measures he perceives as “threats to free speech.”
Having appointed Elon Musk, the owner of platform X, to a government position, Mr. Trump has also enjoyed the backing of Mark Zuckerberg. In January, Mr. Zuckerberg announced the end of Meta’s content moderation policies for Facebook, Instagram, and WhatsApp. When contacted, the companies did not respond. Experts argue for holding platforms accountable for their content.
There is a perception that forcefully pursuing this agenda could draw negative attention from Mr. Trump and Mr. Musk, a scenario the Lula administration seeks to avoid. As a workaround, the government plans to support regulatory bills proposed by opposition lawmakers in Congress, such as Senator Damares Alves and Congressman Silas Câmara, to increase oversight of social media.
Members of Lula’s government see the Trump-Musk alliance as a global democratic risk. Mr. Musk has publicly supported the far-right Alternative for Germany (AfD) party in upcoming elections and was photographed with Nigel Farage, leader of Reform UK, in front of a Trump portrait at Mar-a-Lago before the inauguration.
Concerns also extend to Mr. Trump and big tech’s potential influence on Brazil’s 2026 elections. In November, First Lady Rosângela da Silva criticized Mr. Musk at a G20 pre-event in Rio de Janeiro, linking him to misinformation on social media. Her remarks quickly spread across social media. Mr. Musk responded to the video with laughing emojis on X, commenting, “They will lose the next election.”
Finance Minister Fernando Haddad’s proposal to tax the ultra-wealthy as a means to fund global inequality projects faces “zero chance” of advancing under Trump, according to a senior government source.
During his first term, Mr. Trump cut taxes for the wealthy and large corporations, arguing it spurred economic growth. His latest campaign included further tax reductions including exemptions and eliminating caps on state and local tax deductions, benefiting the wealthiest.
Brazil’s push to de-dollarize trade within BRICS has also drawn Mr. Trump’s ire. He staunchly defends the U.S. dollar’s role as the global reserve currency and opposes diversifying currencies in international transactions.
In November, Mr. Trump threatened up to 100% tariffs on BRICS products if the group pursued a common currency.
“The U.S. demands a commitment from these countries not to create a BRICS currency or support any alternatives to the mighty U.S. dollar,” Mr. Trump declared on social media.
The Global Alliance Against Hunger, a Lula-led initiative launched at the G20 to combat food insecurity in the poorest nations, could also falter.
While former President Joe Biden supported the effort, Mr. Trump’s preference for disengaging from multilateral agreements casts doubt on U.S. participation.
Similar concerns surround COP30, the global climate conference scheduled for Belém. On his first day back in office, President Trump announced the U.S. withdrawal from the Paris Agreement, echoing his first-term decision.
Brazilian officials fear this could dissuade other nations from participating in global climate initiatives and weaken negotiations at the conference.
Ambassador André Corrêa do Lago expressed concern last Tuesday (21) after being named COP30 president.
“We are still assessing President Trump’s decisions, but there is no doubt they will significantly impact our preparations and how we navigate the withdrawal of such a key player from this process,” he told reporters at the Planalto Palace.
Despite these challenges, Mr. Trump’s focus on fossil fuels could indirectly benefit Brazil. Sectors of the Brazilian economy see an opportunity to attract green investments, particularly in renewable energy, that might otherwise target the U.S.
Given these dynamics, sources in Brasília admit that the Lula administration will face difficulties in maintaining its international agenda amid tensions with Washington. A Planalto official remarked that Brazil has moved “from a government ally to the opposition” in the global context under Trump.
To mitigate the fallout, Brasília plans to adopt calibrated diplomatic strategies, preserve its leadership in social, environmental, and economic causes, and seek alliances with Europe, Africa, and Asia. These regions share values and priorities aligned with Brazil’s goals. The U.S. Embassy in Brasília did not respond to requests for comment.
*By Fabio Murakawa e Renan Truffi — Brasília
Source: Valor International