Brazil may be excluded from the US Section 232 tariffs that are scheduled to go into effect March 23, according to several media reports.
Brazil’s president Michel Temer said on Wednesday the White House has signaled it could eventually negotiate to exempt Brazil from the 25 percent import tariff applied by the US over foreign steel imports.
Temer said the tariffs will not be applied as long as there are ongoing conversations between the two countries. He added that the White House said Brazil will be one of the first countries with which the US will commence eventual bilateral negotiations.
Brazil’s distributor steel association, Inda, said this week there is a high chance Brazil could be exempted from the imports tariff, as US consumers are reportedly demanding it. Brazil exports mainly semi-finished steel products to the US, primarily slabs for rerolling into flat steel products.
Brazil’s finance minister, Fernando Meirelles, held a meeting this week with the US Secretary of the Treasury, Steven Mnuchin. Meirelles said the meeting was positive.