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Lula and Trump Discuss Tariffs in Phone Call, Agree to Fast-Track Talks

Brazil's Lula and US President Trump spoke by phone about new tariffs, agreeing to hold talks between officials soon.

Brazilian President Luiz Inacio Lula da Silva and US President Donald Trump held a phone conversation on Friday to address the recent tariffs imposed by Washington on Brazilian goods. The call was confirmed by Brazil's government, which said the two leaders discussed the trade measures and the path forward.

During the conversation, Lula stressed that negotiation remains the most effective route to settle the dispute. Trump, for his part, suggested that officials from both countries should meet as soon as possible to continue the discussion, according to the Brazilian statement.

The US recently announced a 25% tariff on certain Brazilian products, citing unfair trade practices. Additionally, a 12.5% tariff was applied to goods from several nations, including Brazil, over allegations of weak enforcement related to forced labor bans.

Lula pushed back on the justifications for these measures, arguing that the tariffs would hurt both economies. He also dismissed the underlying allegations—which include concerns about deforestation, intellectual property, corruption, Brazil's Pix payment system, ethanol, and imports linked to forced labor—as unfounded.

A Brazilian official who was present during the call described the relationship between the two presidents as "very friendly." However, the official noted that the Brazilian government does not anticipate any change in the tariffs before October, when Brazil is scheduled to hold elections. "The goal was to restart the negotiations," the official said.

Following the presidential call, US Trade Representative Jamieson Greer contacted Brazilian Minister of Development, Industry, Trade and Services Marcio Elias Rosa to arrange a meeting. Rosa indicated that a date for the talks would be set on Monday.

Earlier this month, Brazil initiated a process to seek further consultations with US trade authorities, a step that could eventually lead to reciprocal measures against Washington.

Lula also used the call to reaffirm Brazil's interest in cooperating with the US on combating organized crime. At the same time, he made clear that criminal gangs operating in Brazil should not be equated with terrorist organizations, a label Washington applied to two such groups in May.