On trade deal, Brazil contradicts White House
SAO PAULO — From the perspective of the White House, the United States had negotiated a preliminary deal with Brazil, as well as Argentina and Australia, to exempt the countries from punitive steel and aluminum tariffs.
From the perspective of Brasilia, it was issued an ultimatum.
Brazil accused the Trump administration on Wednesday of breaking off negotiations over the tariffs last week and issuing a take-it-orleave-it offer. According to Brazilian authorities, the U.S. said the country’s steel and aluminum industries could opt for tariffs or quotas.
That account appears to contradict the White House’s version of the events. On Monday, White House officials said they had reached agreements in principle with Argentina, Australia and Brazil with regard to steel and aluminum, saying the details would “be finalized shortly.”
When President Donald Trump issued the worldwide tariffs in March, he granted temporary exemptions to Brazil, Argentina, Australia, Canada, the European Union, Mexico and South Korea. Almost immediately, countries scrambled to make them permanent.
Just hours before those exemptions were set to expire, the Trump administration extended the deadline for the European Union, Canada and Mexico. It also said Brazil, along with Argentina and Australia, were finalizing the details of “satisfactory alternative means” to address national security threats posed by steel imports and avoid tariffs.
In a joint statement on Wednesday, Brazil’s foreign and trade ministers said they were informed of the decision by the U.S. to break off negotiations last Thursday. They were then told that the temporarily suspended tariffs would be applied “immediately” or, as an alternative, they could opt for “restrictive unilateral quotas.”
In its statement, the ministers “lamented that the negotiating process had been broken,” but said they were open to “building solutions that are reasonable for both parts.”
The White House did not immediately respond to a request for comment.