By Lisandra Paraguassu and Isabel Teles
BRASILIA, Oct. 6 (Reuters) – Brazilian President Luiz Inacio Lula da Silva and U.S. President Donald Trump agreed to meet in person soon after a friendly video call on Monday, Brazil’s government said, boosting prospects for a thaw in bilateral relations that are at their worst in decades.
During the leaders’ 30-minute call, Lula’s office said in a statement that he and Trump discussed their positive impressions of a brief encounter at the United Nations last month and exchanged phone numbers to open a direct line of communication.
Trump said on social media that the call was “very good,” with a focus on the countries’ economic and trade relations.
“We will be having further discussions, and will get together in the not-too-distant future, both in Brazil and the United States,” he wrote.
Tariffs Hit Brazil’s Coffee and Beef Exports to U.S.
Lula suggested a meeting during this month’s summit of the Association of Southeast Asian Nations (ASEAN) in Malaysia and expressed his willingness to travel to the United States, his office said.
The two leaders have been at odds for months over the trial and conviction of Brazil’s former president Jair Bolsonaro. Trump hiked a tariff on many Brazilian goods from 10% to 50% because of the case, which he called a “witch hunt.”
Lula’s office made no reference to Bolsonaro in its summary of the call, but it noted that the Brazilian president had asked Trump to remove the additional 40% tariff.
The tariffs have triggered a drop in Brazilian coffee exports to the U.S. by as much as 70%, while sharply reducing shipments of Brazilian beef.
Coffee prices in the U.S., which has traditionally relied on Brazil for one-third of its supply of coffee beans, have risen sharply due in large part to the tariffs, which have forced roasters to buy more expensive coffee elsewhere.
Trump designated Secretary of State Marco Rubio to continue tariff negotiations with Brazilian Vice President Geraldo Alckmin, Foreign Minister Mauro Vieira and Finance Minister Fernando Haddad, the Brazilian statement added.
A meeting between the two leaders has been closely watched by Brazilian markets after the country’s exports suffered one of the highest tariff rates imposed by the United States.
The Trump administration also sanctioned Brazilian Supreme Court Justice Alexandre de Moraes, who oversaw Bolsonaro’s case, under the Magnitsky Act. It also revoked the visas of six high-ranking officials, including Brazilian Solicitor-General Jorge Messias.
Without naming Trump directly, Lula said at the U.N. General Assembly last month that there was no justification for unilateral and arbitrary measures targeting Brazil’s institutions and economy.
Retail coffee prices in the United States https://www.reuters.com/graphics/TRUMP-TARIFFS/COFFEE-USA/klpybogwgvg/chart_eikon.jpg
(Reporting by Lisandra Paraguassu in Brasilia and Isabel Teles in Sao Paulo; Additional reporting by Costas Pitas and Marcelo Teixeira; Writing by Isabel Teles; Editing by Brad Haynes, Sharon Singleton, Alison Williams, and Edmund Klamann)
