In an interview with the local press, Brazilian Vice President Geraldo Alckmin said that the US Department of Commerce will impose a 25% import tariff on all products that use steel and aluminum in their production, regardless of the country of origin.
Along with the decision, instead of the current 50 percent import tariff recently imposed on all Brazilian products, the tariff in such cases will be reduced to 25 percent.
According to Alkmin, the tariff reduction will cover 6 percent of Brazilian exports to the United States, saving an estimated $2.6 billion per year.
He added that the competitiveness of Brazilian products, mainly machinery and equipment, will increase as it is leveled for all other countries.
The tax reduction does not apply to steel or aluminum products, such as semi-finished products or finished products.
