Brazil and US Launch First Technical Talks in Kuala Lumpur to Resolve Trump-Imposed Tariffs

On October 27, 2025, Brazilian and US officials convened in Kuala Lumpur, Malaysia, for the first technical meeting aimed at negotiating the controversial 50% tariffs imposed by former US President Donald Trump on various Brazilian products. The meeting, a direct follow-up to a high-profile encounter between President Luiz Inácio Lula da Silva and President Trump at the ASEAN summit, marked a significant step toward resolving escalating trade tensions.

The Brazilian delegation included Foreign Minister Mauro Vieira, Secretary of Industry Márcio Rosa, and advisor Audo Faleiro, while the US team was led by USTR Jamieson Greer and Treasury Secretary Scott Bessent. Brazilian officials emphasized their goal to establish a detailed negotiation timeline and identify critical sectors impacted by the tariffs, including those concerning strategic minerals and rare earth elements. Vieira highlighted Brazil's firm stance on protecting its sovereignty against unacceptable demands amidst the contentious tariff environment.

President Lula expressed optimism about the talks, stating, "I am convinced that in a few days we will have a definitive solution between the United States and Brazil," and indicated readiness to maintain direct communication with Trump to expedite the process. Meanwhile, Trump described the meeting as productive but remained non-committal on final outcomes, noting, "I don't know if something will happen, we'll see," while praising Lula as "vigorous and impressive."

Economic experts see the dialogue as a hopeful sign toward easing market uncertainties that had led to substantial tariffs affecting key Brazilian exports like coffee, meat, and steel. Economist César Bergo noted the improved Brazil-US relations post-meeting had already encouraged foreign investment and market stability. Bergo also cited internal US pressures, such as rising prices of Brazilian-imported commodities, as a motivating factor for Trump’s administration to engage in tariff negotiations.

Further meetings are scheduled, including a Brazilian delegation visit to Washington in early November, potentially led by Finance Minister Fernando Haddad and Industry Minister Geraldo Alckmin. Brazil is also seeking a temporary suspension of tariffs during the negotiation period to mitigate ongoing trade disruptions.

These developments signal cautious hope for a breakthrough that could restore balanced bilateral trade relations and advance cooperation on critical economic sectors between the two nations.