FT: Brazil fears extra US tariffs over Russian diesel purchases

Brazil, the world’s second-largest agricultural exporter, is preparing for the possibility of new punitive tariffs from the United States due to its significant purchases of Russian diesel and fertiliser since the start of the war in Ukraine.

These imports have allowed Brazil to benefit from substantial discounts on its fuel purchases, Caliber.Az reports, citing FT.

President Donald Trump has already imposed 50 per cent tariffs on most Brazilian goods as part of his efforts to pressure Brazil into halting the trial of his far-right ally Jair Bolsonaro on coup charges and to ease regulations on US social media companies.

However, following Trump’s decision to increase tariffs on India—the largest buyer of Russian crude since 2023—and his order for officials to monitor other countries’ purchases of Moscow’s oil products with a view to imposing additional duties, Brazilian politicians and business leaders fear their country could be next.

“The latest sanctions on India confirm what could happen to Brazil,” said Carlos Viana, one of a group of Brazilian senators who travelled to Washington last month to discuss trade. “Brazil buys large quantities of diesel [from Russia] and most of the fertilisers used in Brazilian agricultural production.”

By Khagan Isayev