Brazil dismisses US trade allegations, defends practices

THE Brazilian government on Monday filed its formal response to the United States' Section 301 investigation, rejecting allegations of unreasonable or discriminatory trade practices.

AI Brief

Brazil criticised the US for using Section 301, calling it inconsistent with global trade norms.
The US claims Brazil's digital and tariff policies hurt American commerce, but Brazil says they follow international standards.
Brazil wants the dispute resolved through WTO arbitration, not unilateral US action.

Brazil emphasised that Section 301, a statute from the U.S. Trade Act of 1974, operates as a unilateral instrument inconsistent with principles of multilateral trade.

The U.S. launched the probe in July, claiming that Brazil's digital trade policies and tariff structures burden or restrict U.S. commerce. However, Brazil countered these accusations, asserting that its practices align with international trade norms and that the United States' persistent trade surplus with Brazil undermines the basis of the complaints.

In its rebuttal, Brazil also criticized Section 301 as a tool undermining multilateralism, calling instead for arbitration within the framework of the World Trade Organization (WTO).