Brazilian President Luiz Inacio Lula da Silva said his country would respond to a newly announced 50% tariff rate on its exports to the United States with reciprocity.

The White House confirmed on Wednesday that the new tariff, which takes effect on August 1, marked a sharp escalation from the 10 per cent rate Trump unveiled in April.

Justifying the hike, Trump accused Brazil of “insidious attacks on Free Elections and the fundamental Free Speech Rights of Americans”, a reference to the country’s formal president Jair Bolsonaro’s ongoing trial for allegedly attempting to carry out a coup after he lost the 2022 presidential election.

Lula in response cited a recently adopted Brazilian law that authorizes his government to take proportional countermeasures in response to unilateral economic measures taken by other countries.

“Any measure to unilaterally raise tariffs will be responded to in accordance with Brazil’s Economic Reciprocity Law,” the President’s office said in a statement, signalling that Brazilian tariffs on US goods could soon follow.

Taking to X shortly after Trump’s announcement, Lula doubled down on Brazil’s right to self-governance, stating:

“In light of the public statement made by U.S. President Donald Trump on social media on the afternoon of Wednesday (9), it is important to highlight the following:

“Brazil is a sovereign nation with independent institutions and will not accept any form of tutelage.

“The judicial proceedings against those responsible for planning the coup d’état fall exclusively under the jurisdiction of Brazil´s Judicial Branch and, as such, are not subject to any interference or threats that could compromise the independence of national institutions.

“In the context of digital platforms, Brazilian society rejects hateful content, racism, child pornography, scams, fraud, and speeches against human rights and democratic freedom.

“In Brazil, freedom of expression must not be confused with aggression or violent practices. All companies—whether domestic or foreign—must comply with Brazilian law in order to operate within our territory.

“The claim regarding a U.S. trade deficit in its commercial relationship with Brazil is inaccurate. Statistics from the U.S. government itself show a surplus of $410 billion in the trade of goods and services with Brazil over the past 15 years.

“Therefore, any unilateral tariff increases will be addressed in accordance with Brazil’s Economic Reciprocity Law.

“Sovereignty, respect and the unwavering defense of the interests of the Brazilian people are the values that guide our relationship with the world.” He added