Trump Imposes 50% Tariffs on Brazil and Copper, Closes Duty-Free Shipping Loophole

President Donald Trump on Wednesday unveiled sweeping new trade actions, imposing 50% tariffs on Brazil and on certain semi-finished copper products while also suspending a tax break that allowed cheap packages to enter the United States duty-free.

The tariff on Brazil, effective early August, was issued after Trump warned the country earlier this month to stop the trial of former Brazilian President Jair Bolsonaro. The order cites “serious human rights abuses” in connection with Bolsonaro’s prosecution, which Trump called politically motivated. While coffee will be subject to the higher rate, key Brazilian exports such as orange juice, aircraft, oil, and coal are exempt.

In a separate move, the administration ordered 50% tariffs on semi-finished copper products like pipes, wires, and sheets, but exempted refined copper, a crucial material for manufacturers. The White House described the tariffs as a measure to strengthen the domestic copper industry. Markets responded sharply, with copper prices in New York plunging 19% on the news.

Trump also ended the “de minimis exemption” that allowed duty-free shipments of goods worth $800 or less from all countries, effective August 29. The change will particularly affect e-commerce platforms such as Shein and Temu, which rely heavily on low-cost imports. According to U.S. Customs and Border Protection, 1.36 billion packages entered the country under this exemption last fiscal year.

Alongside these trade moves, Trump said a trade framework with Pakistan is in place, focusing on oil development, and confirmed that his administration is meeting with South Korean trade officials to pursue another potential deal.

These actions, taken together, represent an expansion of the administration’s trade policy and could raise prices for U.S. consumers on some products.

Credit: CNN Newsource

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