Farm-State Senators See Opportunity in Brazil Tariffs

Some farm-state lawmakers are eyeing potential opportunities for the U.S. agricultural sector should President Donald Trump follow through on his threat to impose steep new tariffs on Brazil.

The president shared a letter to Truth Social on Wednesday addressed to President Luiz Inácio Lula da Silva that outlined new 50% duties on imports from Brazil on Aug. 1 over his displeasure at the country’s treatment of former President Jair Bolsonaro. The president also indicated that he would open an investigation into the country’s unfair trade practices.

“I’m very happy to keep Brazil out of my agriculture market,” Sen. Roger Marshall, R-Kan., told Agri-Pulse on Thursday. “Brazil manipulates our markets when it comes to sugarcane being used for ethanol.”

The U.S. is a prominent export market for Brazilian agricultural producers, accounting for around 7% of the country’s ag exports. It is a major supplier of U.S. coffee, beef and fruit juice, but also sent more than $770 million of sugarcane and sugarbeets and $200 million of ethanol into the U.S. market in 2024.

Brazil is currently subject to a 10% baseline tariff under Trump’s April 2 tariff plan, but has, until now, escaped pending country-specific tariffs.

Sen. Deb Fischer, R-Neb., said she’s “not surprised” that the president opted to hike duties on Brazil.

“I think the president is trying to level the playing field for agriculture,” she said.

“Brazil can import to the United States duty-free,” Fischer added. But when U.S. ethanol producers, like those in her state, send product to Brazil, they face an 18% tariff, she noted.

When the U.S. has complained about the asymmetrical duties on ethanol exports, Brazilian officials have pointed out that the U.S. preserves high tariffs on some of its own agricultural industries that it wants to protect – like sugar.

The Brazilian tariff threat also marks the president’s return to using tariffs to advance interests outside the trade sphere. Earlier this year, Trump slapped new duties on Mexico, Canada and China over their position as transit countries for migrants and their role in the global fentanyl trade. He also embarked on a short-lived trade spat with Colombia over its demands around repatriating expelled immigrants from the U.S.

The Brazil threat, however, is the first time the president has turned to tariffs to intervene in domestic politics in another country and shield a political ally. Bolsonaro is on trial in the country over his role in efforts to cling to power following Brazil’s election in 2022 – what the president called “a Witch Hunt” in his letter to Lula.

Sen. Jim Justice, R-W.Va., told Agri-Pulse he is “less okay” with the president using tariffs to achieve political ends. But he added that “whether we like it or not like it, this has gotten to be a very political world, and we’ve got to accept the realities of that, and we’ve got to deal with things like that.”

“Hopefully, that’ll get everybody’s attention, and then we’ll move away from that,” Justice added.

Others were even more willing to give Trump broad discretion to wield tariffs against the Brazilian government as he sees fit.

“Brazil is not our friend, not as long as it’s under the current leadership,” Sen. John Kennedy, R-La., told Agri-Pulse. Lula, Kennedy said, has “kicked America in the ass every chance he’s got.”

“So, he’s got no standing to complain,” Kennedy added.

This article was originally published by Agri-Pulse. Agri-Pulse is a trusted source in Washington, D.C., with the largest editorial team focused on food and farm policy coverage.