Trump Lifts Tariffs on Brazilian Beef & Coffee, Reversing Policy Amid Rising US Food Costs & Bolsonaro Sanctions

U.S. President Donald Trump has officially revoked the 40% tariffs previously imposed on Brazilian food products, including essential commodities like beef, coffee, cocoa, and various fruits. This significant policy reversal, announced on Thursday, Nov 21, 2025, comes after the tariffs were initially enacted in July as a punitive measure against Brazil for prosecuting former President Jair Bolsonaro, a known Trump ally.

The move mirrors a similar action taken last Friday by the administration, which saw tariffs lifted on several agricultural goods from other nations. This broader trend signals a strategic shift by the White House, aiming to mitigate the escalating cost of food in the United States, a factor widely believed to be contributing to President Trump's declining approval ratings.

Immediate Impact on Imports and Consumer Prices

Brazilian imports entering the U.S. market on or after November 13 will be affected by this new order. The White House's directive suggests that importers might even be eligible for refunds on duties collected while the tariffs were active. Brazil is a crucial supplier to the U.S., accounting for approximately a third of the coffee consumed by Americans – the world's largest coffee market. Furthermore, Brazil has emerged as a significant source of beef, particularly for burger production.

The tariffs had a palpable effect on U.S. retail coffee prices, which surged by as much as 40% this year. This increase was exacerbated by other market dynamics, such as weather-related production shortages. Commodity analyst Judith Ganes, president of J. Ganes Consulting, anticipates a swift movement of thousands of bags of Brazilian coffee from bonded warehouses to U.S. roasters, where they had been stored awaiting a potential duty revision.

Reactions and Broader Context

The Brazilian beef industry group, ABIEC, welcomed the decision, stating that it underscores the effectiveness of ongoing trade negotiations. The group also affirmed its commitment to further expanding its market share in the U.S.

Interestingly, President Trump's executive order on Thursday did not make any explicit mention of the previous actions taken against Brazilian authorities involved in the prosecution and conviction of Jair Bolsonaro. Bolsonaro was convicted for allegedly plotting a coup to retain power after his 2022 election loss. Notably, Brazil's Supreme Court Justice Alexandre de Moraes and his wife were sanctioned under the Global Magnitsky Act, while other justices and ministers had their U.S. visas revoked in response to these events.

Brazilian President Luiz Inacio Lula da Silva also expressed his satisfaction on Thursday regarding the elimination of the 40% tariff, indicating a positive diplomatic outcome from Brazil's perspective.

This policy reversal highlights the complex interplay between international trade, domestic economic pressures, and political considerations in foreign policy decisions.