Brazil Eyes Breakthrough in U.S. Trade Talks as Lula Hints at Tariff Relief
Brazil’s Lula optimistic about resolving US tariff dispute.
Brazilian President Luiz Inacio Lula da Silva expressed confidence on October 27, 2025, that a trade agreement with the United States could be finalized within days, potentially easing punitive 50 percent tariffs imposed by U.S. President Donald Trump. Speaking to reporters in Malaysia during an ASEAN summit, Lula, who turned 80 on Monday, described his Sunday meeting with Trump as “surprisingly good,” noting Trump’s assurance of an impending deal. The leaders’ talks signal a thaw in strained relations between the Americas’ largest economies.
The tariffs, alongside U.S. sanctions on Brazilian officials, including a Supreme Court judge, stem from Trump’s criticism of Brazil’s legal actions against former President Jair Bolsonaro, a Trump ally sentenced to 27 years in prison for a 2022 coup attempt. Lula dismissed Bolsonaro’s relevance, stating he is “part of the past” in Brazilian politics. The leaders’ recent interactions, including a UN General Assembly meeting in September and a phone call on October 6, have paved the way for progress.
Brazilian officials echoed Lula’s optimism, with Foreign Ministry Executive Secretary Marcio Rosa describing “spectacular progress” in negotiations. Foreign Minister Mauro Vieira confirmed productive discussions with U.S. Treasury Secretary Scott Bessent, aiming for a mutually satisfactory agreement in the coming weeks. The talks reflect a shift from months of tension over trade, multilateralism, and climate change, where Lula and Trump hold opposing views.
Also Read: “Not You Again”: Donald Trump Loses Cool at ASEAN Summit Press Conference
The potential deal could alleviate economic pressures on Brazil, particularly on exports facing steep tariffs. Lula’s diplomatic efforts, including his attendance at the ASEAN summit in Kuala Lumpur, underscore Brazil’s push to strengthen global partnerships. As he returns to Brazil on Tuesday, October 28, the prospect of a trade resolution offers hope for improved bilateral ties with the U.S.
This development marks a critical moment for Brazil-U.S. relations, with the outcome of the trade talks likely to influence economic policies and regional dynamics. Lula’s optimism suggests a pragmatic approach to navigating ideological differences, prioritizing economic cooperation to benefit both nations.
Also Read: U.S.-China Seal Preliminary Trade Deal Ahead of Trump-Xi Summit
