U.S. Finalizes 25% Tariff on Most Brazilian Imports, Exempting Beef, Coffee and Aircraft

The U.S. has finalized a sweeping new trade action against Brazil, imposing an additional 25% tariff on Brazilian imports beginning July 22 while exempting a limited list of products that includes beef, orange juice, coffee, aircraft and some pharmaceuticals.

The action, issued Tuesday by the Office of the U.S. Trade Representative in a Federal Register notice and accompanying press materials, stands out for its breadth. Rather than targeting a single industry, the measure applies across imports from Brazil and then carves out exceptions product by product. That means some of Brazil’s best-known exports to the U.S. are spared, but goods not on the exemption list will face the new duty within days.

USTR said the added 25% ad valorem duty will apply to products entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. Eastern time on July 22, 2026. The notice includes limited relief for some goods already in transit before the effective date. USTR said the action was taken under Section 301 of the Trade Act of 1974, a U.S. trade law that allows the government to respond to foreign practices it determines are unreasonable or discriminatory and that burden U.S. commerce. The agency cited Sections 301(b), 301(c) and 304(a), and said it acted at President Donald Trump’s direction, following a July 15 presidential memorandum referenced in the notice.

The exemption list in Annex II covers a substantial number of products. Examples identified in the notice include bovine meat cuts, orange juice and certain citrus juices, unflavored instant coffee, certain pharmaceuticals and pharmaceutical ingredients, civil aircraft and aircraft parts, and some minerals and energy products. Other listed exemptions include organic honey, pig iron, iron and steel scrap, certain wood products and used clothing. USTR’s notice also said some pharmaceutical-related exemptions do not take effect until July 31 rather than July 22.

The tariff action follows a yearlong Section 301 investigation that USTR opened on July 15, 2025. According to the agency, the probe examined Brazilian acts, policies and practices involving digital trade and electronic payment services, tariffs, anti-corruption enforcement, intellectual property protection, ethanol market access and illegal deforestation. USTR said it reached its determination that certain Brazilian measures were actionable on June 1, 2026, and then proposed a response in a June 4 notice. The agency said it received more than 360 written submissions and held a two-day public hearing on July 6 and 7, at which 77 witnesses testified.

In a July 15 press release, U.S. Trade Representative Jamieson Greer said, “Safeguarding American economic interests against unfair trade practices is the bedrock of President Trump’s America First policies. … Today’s action is necessary to address these unfair trade practices to ensure American workers and companies can compete on a level playing field.” Brazil has publicly rejected the tariff move and signaled possible countermeasures under its Economic Reciprocity Law, according to contemporaneous reporting summarized by the National Association of Manufacturers.