{"id":95191,"date":"2025-08-01T12:03:05","date_gmt":"2025-08-01T15:03:05","guid":{"rendered":"https:\/\/murray.adv.br\/?p=95191"},"modified":"2025-08-01T12:03:05","modified_gmt":"2025-08-01T15:03:05","slug":"exporters-propose-emergency-measures-against-trump-tariffs","status":"publish","type":"post","link":"https:\/\/murray.adv.br\/en\/exporters-propose-emergency-measures-against-trump-tariffs\/","title":{"rendered":"Exporters propose emergency measures against Trump tariffs"},"content":{"rendered":"<section class=\"content--header\">\n<div class=\"row content-head non-featured \">\n<div class=\"title\">\n<h6 class=\"content-head__title\" style=\"text-align: center\"><em><strong>Proposals call for tax rebates, credit lines as Lula administration distances plan from Bolsonaro-era model<\/strong><\/em><\/h6>\n<\/div>\n<\/div>\n<div class=\"content__signa-share\">\n<div class=\"content__signature\">\n<div class=\"content-publication-data\">\n<div class=\"content-publication-data__text\">\n<div class=\"content-publication-data__from\"><\/div>\n<p class=\"content-publication-data__updated\">08\/01\/2025 <\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n<div id=\"mc-article-body\" class=\"mc-article-body \">\n<article>\n<div class=\"no-paywall\">\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"71\" data-block-id=\"2\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Brazilian exporters hit by the tariff hike imposed by U.S. President Donald Trump have submitted proposals for the federal government\u2019s emergency support package, with the expectation that the aid will remain in place at least through much of next year. Companies involved said the contingency plan should last a minimum of six months, with the possibility of a six-month extension, and may include financing lines from the Brazilian Development Bank (BNDES).<\/p>\n<\/div>\n<div class=\"wall protected-content\">\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"64\" data-block-id=\"3\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">While ministries leading negotiations with the U.S. have not committed to a specific duration, companies were told that support measures could be rolled out in phases\u2014short, medium, and long term\u2014allowing for an assessment of their impact. Two sources said that although many of the suggestions resemble elements of the COVID-19 relief plan from Jair Bolsonaro administration, the current government insists the initiative is different.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"61\" data-block-id=\"4\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">\u201cThey don\u2019t want comparisons between the two, and argue that these are different measures for different times. But part of our proposals is based on that previous plan simply because it was tested and worked. Let\u2019s say it\u2019s a \u2018mini menu\u2019 from the pandemic playbook. And there\u2019s no political element on our side,\u201d said one industry executive involved in the talks.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"44\" data-block-id=\"5\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Executives also said\u00a0<a class=\"\" href=\"https:\/\/valorinternational.globo.com\/economy\/news\/2025\/07\/31\/exemptions-cover-nearly-half-of-brazils-exports-to-the-us.ghtml\" data-mrf-link=\"https:\/\/valorinternational.globo.com\/economy\/news\/2025\/07\/31\/exemptions-cover-nearly-half-of-brazils-exports-to-the-us.ghtml\">the 694 product exemptions announced by the U.S. on Wednesday<\/a>\u00a0(30) will not alter the framework already designed by the Finance and Development ministries. \u201cThat was the response we received when we raised the issue with government officials,\u201d said one source.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"39\" data-block-id=\"6\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">The proposals aim to minimize reliance on direct funding from the federal budget, given Brazil\u2019s tight fiscal situation, and to prioritize support for companies in the most critical condition, a criterion that industry groups admit leaves room for interpretation.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles\" data-block-type=\"raw\" data-block-weight=\"28\" data-block-id=\"7\">\n<p class=\"content-text__container\" data-mrf-recirculation=\"Article links\">\n<ul class=\"content-unordered-list\">\n<li><a class=\"\" href=\"https:\/\/valorinternational.globo.com\/foreign-affairs\/news\/2025\/08\/01\/sector-specific-aid-a-greater-risk-than-us-tariffs-economist-warns.ghtml\">Sector-specific aid a greater risk than U.S. tariffs, economist warns<\/a><\/li>\n<li><a class=\"\" href=\"https:\/\/valorinternational.globo.com\/economy\/news\/2025\/08\/01\/redirecting-exports-is-slow-and-difficult-experts-say.ghtml\">Redirecting exports is slow and difficult, experts say<\/a><\/li>\n<li><a class=\"\" href=\"https:\/\/valorinternational.globo.com\/economy\/news\/2025\/08\/01\/state-run-banks-may-scale-back-aid-after-trumps-tariff-exemptions.ghtml\">State-run banks may scale back aid after Trump\u2019s tariff exemptions<\/a><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"3\" data-block-id=\"8\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\"><strong>Smaller companies support<\/strong><\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"38\" data-block-id=\"9\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">One key concern is support for smaller companies with limited financial capacity. Another involves distinguishing between companies that will halt exports immediately and those that will continue shipping to the U.S. despite losses due to lack of alternatives.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"20\" data-block-id=\"10\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Some companies, for instance, produce goods in Brazil specifically tailored to the U.S. market and cannot easily redirect them elsewhere.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"53\" data-block-id=\"11\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Among the proposals is a special line of credit to cover the Advance on Foreign Exchange Contract (ACC), in which banks provide exporters with upfront payment in foreign currency. The proposed measure would create a special dollar-denominated loan program through Brazil\u2019s official financial system, including BNDES, to support transactions that fall through.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"54\" data-block-id=\"12\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">\u201cThis would be a special credit line for companies stuck with unsold goods, using international market rates and no subsidies. It would help those who produced and even invoiced, but didn\u2019t ship,\u201d said a leader in the textile sector. Another source noted that the proposal includes administrative costs and avoids drawing on federal funds.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"44\" data-block-id=\"14\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Another request sent to the Finance and Development ministries involves raising the minimum\u00a0<em>Reintegra\u00a0<\/em>rate\u2014Brazil\u2019s Special Regime for the Reinstatement of Tax Amounts for Exporting Companies\u2014from 0.1% to 3% for medium-sized businesses. This measure would apply to companies that continue exporting to the U.S.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"25\" data-block-id=\"15\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Associations are also asking the government to extend the 3% rate to larger companies, but it\u2019s unclear whether this proposal has gained traction in Bras\u00edlia.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"23\" data-block-id=\"16\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">This would match the rate recently approved for individual microentrepreneurs, microbusinesses, and small enterprises, as published in the Official Gazette on Tuesday (29).<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"28\" data-block-id=\"17\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Another long-standing demand resurfacing is the acceleration of ICMS (state value-added tax) refunds owed to exporters, a request coming from sectors such as meat, wood, textiles, and fruit.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"40\" data-block-id=\"18\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Industry associations are drafting a letter to state governments, backed by companies exporting to the U.S., to address ICMS credit reimbursements. The government of S\u00e3o Paulo has already pledged R$1 billion in ICMS refunds to help mitigate the tariff impact.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"2\" data-block-id=\"19\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\"><strong>Wage cuts<\/strong><\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"43\" data-block-id=\"20\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">One common theme among industry proposals is the possibility of reducing working hours and wages, with partial government subsidies, similar to the model adopted during the COVID-19 crisis. However, sources said the Finance Ministry is resistant to this idea due to its cost.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"16\" data-block-id=\"21\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Under that previous scheme, companies paid part of employees\u2019 wages, while the government covered the remainder.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles\" data-block-type=\"raw\" data-block-weight=\"11\" data-block-id=\"22\">\n<p class=\"content-text__container\" data-mrf-recirculation=\"Article links\">\n<ul class=\"content-unordered-list\">\n<li><a class=\"\" href=\"https:\/\/valorinternational.globo.com\/economy\/news\/2025\/07\/31\/new-u-s-tariff-threatens-jobs-in-brazil-and-could-export-industry.ghtml\">New U.S. tariff threatens jobs in Brazil and could &#8220;export&#8221; industry<\/a><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"32\" data-block-id=\"23\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">One new idea is implementing a four-day workweek, with the fifth day counted as a \u201cbanked hour\u201d to lower output. These labor-related proposals reportedly came from the National Confederation of Industry (CNI).<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"50\" data-block-id=\"24\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">\u201cIt\u2019s unfortunate we might need this, but it would be for a short period and limited to a few sectors. We believe it will be smaller in scope than during COVID, since this is an emergency situation,\u201d said an executive who attended a July meeting with the Ministry of Development.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"37\" data-block-id=\"26\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">As of Thursday (31), representatives from the coffee, meat, wood, textile, and footwear sectors had already submitted proposals during meetings between ministries and industry leaders. But other affected sectors\u2014subject to the 50% tariff hike\u2014can also present suggestions.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"22\" data-block-id=\"27\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Products such as coffee, fruit, meat, and manufactured goods are subject to an additional 40% tariff, on top of the existing 10%.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"50\" data-block-id=\"28\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">On Thursday, Vice President and Development Minister Geraldo Alckmin said the government\u2019s action plan is \u201cpractically ready,\u201d but still under review since the tariff details were released only a day earlier. He said President Lula will make the final decision, and the plan will involve financial, credit, and tax-related measures.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"2\" data-block-id=\"29\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\"><strong>Hardest-hit sectors<\/strong><\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"39\" data-block-id=\"30\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">While fewer sectors were hit by the new 50% tariff\u2014around 700 products were exempt and kept at 10%\u2014industries with significant economic and political weight in Bras\u00edlia, like agribusiness, were included and spoke with Valor over the past few days.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"28\" data-block-id=\"31\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">These affected sectors account for 36% of Brazil\u2019s exports to the U.S. by value, the Ministry of Development said after updating its figures based on the exemption list.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles\" data-block-type=\"raw\" data-block-weight=\"33\" data-block-id=\"32\">\n<p class=\"content-text__container\" data-mrf-recirculation=\"Article links\">\n<ul class=\"content-unordered-list\">\n<li><a class=\"\" href=\"https:\/\/valorinternational.globo.com\/foreign-affairs\/news\/2025\/07\/31\/coffee-beef-textiles-minerals-are-among-hardest-hit-by-tariffs-hikes.ghtml\">Coffee, beef, textiles, minerals are among hardest hit by tariffs hikes<\/a><\/li>\n<li><a class=\"\" href=\"https:\/\/valorinternational.globo.com\/agribusiness\/news\/2025\/07\/31\/the-smooth-path-of-those-focused-solely-on-brazils-coffee-market.ghtml\">The smooth path of those focused solely on Brazil\u2019s coffee market<\/a><\/li>\n<li><a class=\"\" href=\"https:\/\/valorinternational.globo.com\/agribusiness\/news\/2025\/07\/31\/at-20-orfeu-expands-organic-coffee-farming-and-targets-foreign-markets.ghtml\">At 20, Orfeu expands organic coffee farming and targets foreign markets<\/a><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"48\" data-block-id=\"33\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">The main challenge is that few of these goods can be redirected to other international markets in the short term, due to limited storage capacity abroad and potential downward pressure on global prices. This is the case for meat, fish, and fruit, which are already feeling the impact.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"29\" data-block-id=\"34\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Before orange juice was included in the exemption list, European buyers tried renegotiating contracts, offering $1,000 per tonne, even though the average price between January and June was $2,600.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"29\" data-block-id=\"35\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Redirecting goods to the domestic market could also depress prices, revenues, and profit margins. This applies not just to perishables, but also to sectors like textiles, footwear, and furniture.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"38\" data-block-id=\"37\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Furniture exported to the U.S. from Brazil, for instance, is designed specifically for American consumers, said the Brazilian Furniture Manufacturers Association (ABIM\u00d3VEL). With this context in mind, industries are pushing for the government to finalize the plan quickly.<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"71\" data-block-id=\"38\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">The Ministry of Finance declined to comment. The Development Ministry, led by Mr. Alckmin, said through its press office: \u201cSince the U.S. government announced the imposition of tariffs on Brazilian exports, the federal government has met with representatives from all productive sectors, gathering assessments and proposals. The government is deepening its dialogue to define measures that protect jobs and support companies. The MDIC will organize meetings with the most affected sectors.\u201d<\/p>\n<\/div>\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"10\" data-block-id=\"39\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">The Presidential Communications Secretariat did not respond by press time.<\/p>\n<\/div>\n<div data-track-category=\"multicontent\" data-track-action=\"ultimo chunk conteudo\" data-track-noninteraction=\"false\" data-track-scroll=\"view\">\n<div class=\"mc-column content-text active-extra-styles \" data-block-type=\"unstyled\" data-block-weight=\"14\" data-block-id=\"40\">\n<p class=\" content-text__container \" data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\"><em>J\u00e9ssica Sant\u2019Ana, Lu Aiko Otta, Sofia Aguiar, and Renan Truffi contributed reporting from Bras\u00edlia.<\/em><\/p>\n<p data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">By\u00a0Adriana Mattos\u00a0\u00a0and\u00a0Fernanda Guimar\u00e3es\u00a0\u00a0\u2014 S\u00e3o Paulo<\/p>\n<p data-track-category=\"Link no Texto\" data-track-links=\"\" data-mrf-recirculation=\"Article links\">Source: Valor International<\/p>\n<p>https:\/\/valorinternational.globo.com\/<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/article>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Proposals call for tax rebates, credit lines as Lula administration distances plan from Bolsonaro-era model 08\/01\/2025 Brazilian exporters hit by the tariff hike imposed by U.S. President Donald Trump have submitted proposals for the federal government\u2019s emergency support package, with the expectation that the aid will remain in place at least through much of next [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8106],"tags":[26297,26145],"class_list":["post-95191","post","type-post","status-publish","format-standard","hentry","category-murray-news","tag-exporters-propose-emergency-measures","tag-trump-tariffs"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.0 - 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