Trump Imposes Surprising 50% Tariff on Brazil as Crypto Market Reacts
Trump imposes 50% tariff on Brazil, citing unfair trade. Bitcoin dips to $110,800 after hitting $112,000 ATH as markets weigh Fed and trade tensions.
US President Donald Trump has announced a 50% tariff on Brazilian imports, escalating tensions after a week of diplomatic strain. The new tariff will take effect on August 1.
The announcement came through Trump’s social media channels in a formal letter addressed to Brazilian President Luiz Inácio Lula da Silva.
In the letter, Trump cited “unfair trade practices” by Brazil and criticized the Brazilian Supreme Court’s handling of former President Jair Bolsonaro. He currently faces trial for inciting an anti-democratic coup attempt.
That event led to the January 8, 2025, storming of the Planalto presidential palace in Brasília.
Donald J. Trump Truth Social 07.09.25 04:17 PM EST
Tensions between the two countries intensified earlier this week after Trump posted messages supporting Bolsonaro and criticizing the BRICS summit.
He warned that any country aligned with what he called “anti-American BRICS policies” would face an additional 10% tariff.
The move comes amid already heightened market sensitivity following today’s release of FOMC minutes. It showed most Federal Reserve officials favor rate cuts in 2025, with some open to easing as early as July 30.
Shortly after the Brazil tariff news broke, Bitcoin pulled back from its new all-time high of $112,000, dipping to around $110,800.
The crypto market, which had been buoyed by Fed rate cut optimism, showed signs of caution as global trade tensions resurfaced.
This is a developing story.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Annual Loss of Tens of Millions in Revenue Sparks Governance Controversy, Aave Labs Accused of "Backstabbing" the DAO
The conflict between Aave Labs and Aave DAO over front-end integration and fee attribution essentially questions a core issue: who should control and distribute the value created by the protocol.
Small-cap tokens fall to a four-year low—Is the "altcoin bull run" completely hopeless?
Despite having a correlation as high as 0.9 with major crypto tokens, small-cap tokens have failed to provide any diversification value.
Countdown to Bank of Japan rate hike: Will the crypto market repeat its downturn?
Since 2024, each interest rate hike by the Bank of Japan has been accompanied by a drop of more than 20% in the price of bitcoin.
Why aren't large language models smarter than you?
The user's language patterns determine how much reasoning ability the model can demonstrate.
Trending news
MoreCrypto prices
More
