Addressing Threats to the United States by the Government of Brazil

The order declares a national emergency, finding that Brazil's government poses an unusual and extraordinary threat to U.S. national security, foreign policy, and economy. It imposes an additional 40 percent ad valorem tariff on Brazilian imports, effective seven days after signing (August 6, 2025). A limited set of goods — including silicon metal, pig iron, civil aircraft and parts, alumina, tin ore, wood pulp, precious metals, energy products, and fertilizers — are exempted from the new duty. Goods already loaded on vessels in transit before the effective date may enter duty-free under the new rate until October 5, 2025.

The order grants the Secretary of State authority to employ all IEEPA powers to carry out its purposes and directs that official to monitor the situation and recommend further action if needed. The President reserves authority to raise the tariff rate if Brazil retaliates and to lower or remove it if Brazil takes significant steps to address U.S. concerns. The new 40 percent duty stacks on top of existing tariffs, except for goods already subject to Section 232 national-security duties, which are excluded.

U.S. importers of Brazilian goods — including commodities, manufactured products, and agricultural goods not on the exemption list — and U.S. consumers who buy them. U.S. technology and social media companies operating in Brazil facing Brazilian court orders are the named catalyst. Brazilian exporters to the U.S. market also face direct impact.

Importers of Brazilian goods face an immediate 40 percent additional cost on most products, which businesses typically pass along to buyers. U.S. tech companies are placed under explicit presidential backing in resisting Brazilian censorship demands. American consumers may see higher prices on Brazilian-origin coffee, steel, aircraft parts, and other goods not specifically exempted.

The tariff self-executes through modifications to the Harmonized Tariff Schedule in Annex II; U.S. Customs and Border Protection collects and administers it at the border with no further rulemaking required. The Secretary of State leads monitoring and can recommend escalation or de-escalation, consulting a broad interagency group. A built-in retaliation clause automatically triggers a rate increase if Brazil raises tariffs on U.S. exports. The severability clause preserves the rest of the order if any provision is invalidated. Congress receives recurring and final reports per IEEPA and the National Emergencies Act.