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Brazil’s Lula Urges Trump to Lift Tariffs in ‘Friendly’ Phone Call

Khabor Wala Desk

Published: 7th October 2025, 7:02 AM

Brazil’s Lula Urges Trump to Lift Tariffs in ‘Friendly’ Phone Call

Brazilian President Luiz Inacio Lula da Silva urged US President Donald Trump to remove punitive trade tariffs during their first official conversation on Monday, marking a thaw after months of diplomatic tension. Both leaders suggested the possibility of an in-person meeting in the near future.

Phone Call Overview

  • The 30-minute call reportedly took place in a “friendly tone”, according to a statement from the Brazilian presidency.
  • Lula raised the idea of a meeting in Malaysia next month, potentially coinciding with the Association of Southeast Asian Nations (ASEAN) summit.
  • He requested the removal of US tariffs on Brazilian products and sanctions imposed against Brazilian officials.
  • Trump described the conversation as a “very good telephone call” on Truth Social and said:

“We will be having further discussions, and will get together in the not too distant future, both in Brazil and the United States.”

  • Brazil’s Vice President Geraldo Alckmin, tasked with continuing negotiations with US Secretary of State Marco Rubio, said the call went “even better than we expected” and confirmed the leaders had exchanged personal phone numbers.

Background: Strained Relations

Ties between Washington and Brasilia have deteriorated in recent months, largely over the trial and conviction of Trump’s ally, former president Jair Bolsonaro.

Issue Details
Tariffs 50% on Brazilian products
Sanctions Targeted several top officials, including a Supreme Court judge
Cause Trump labelled Brazil’s prosecution of Bolsonaro a “witch hunt”
Exports affected Beef, coffee, sugar – US imports fell 20.3% YoY in September
Other markets China, India, Singapore, Argentina, Peru, Panama – overall exports up 7.2% in September

 

Political Context

  • Lula criticised an “unacceptable” attack on judicial independence during his UN speech last month.
  • Bolsonaro was sentenced to 27 years in prison for his role in a failed coup attempt after losing the 2022 election to Lula.
  • Trump, initially critical of Brazil for “censorship, repression and judicial corruption,” later recounted his UN encounter with Lula, describing him as “a very nice man.”
  • The leaders hold opposite stances on multilateralism, international trade, and climate change policies.

In-Person Meeting Prospects

  • Lula suggested an ASEAN summit meeting in Malaysia in October.
  • He also reiterated an invitation to Trump to attend COP-30 in Brazil’s Amazon city of Belem in November.
  • Lula expressed willingness to travel to the United States for discussions.

Private Sector Influence

  • Behind-the-scenes diplomacy reportedly involved Brazilian business leaders, including JBS beef tycoon Joesley Batista and aircraft manufacturer Embraer, pressing the White House to ease tensions.
  • Lula emphasised that Brazil was ready to negotiate on tariffs but had previously lamented there was “no one to talk to” in Washington.

Economic Impact

Brazilian trade data for September 2025 highlights the effect of US tariffs:

Indicator Data
Exports to US Down 20.3% YoY
Imports from US Up 14.3% YoY
Overall exports Up 7.2% YoY
Key growth markets China, India, Singapore, Argentina, Peru, Panama
  • Despite falling exports to the US, Brazil is diversifying its markets, expanding into Asia and other regions.

The telephone diplomacy between Lula and Trump signals a potential easing of tensions and renewed economic engagement, with both sides exploring avenues for mutually beneficial agreements.

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