Will Brazil Stand Strong Against the US? Lula Responds

Synopsis
Key Takeaways
- Brazil is asserting its sovereignty in the face of US trade pressures.
- The Sovereign Brazil initiative allocates substantial resources to support exporters.
- Lula's government prioritizes small businesses and agricultural sectors.
- The trial of Bolsonaro raises important questions about democracy and human rights.
- Brazil aims to maintain diplomatic relations while addressing trade challenges.
Brasilia, Aug 15 (NationPress) Brazil will not yield to the United States, declared President Luiz Inacio Lula da Silva, refuting US President Donald Trump's assertion that Brazil is "a terrible trading partner."
"It is false when the US President claims that Brazil is a poor trading partner. Brazil is competent; it simply will not submit to the US government," Lula stated during an event in the northeastern state of Pernambuco, as reported by Xinhua News Agency.
Earlier, Trump labeled Brazil as a "horrible trading partner," denouncing the trial of former Brazilian President Jair Bolsonaro as a "political execution." Lula responded, saying, "Democracy is what is judging Bolsonaro."
On Wednesday, Brazil unveiled a series of measures aimed at assisting exporters affected by a 50 percent tariff imposed by the US government.
The initiative, known as Sovereign Brazil, allocates 30 billion reais (approximately $5.562 billion) for low-interest loans, tax incentives, and various other measures, focusing on small enterprises and those dealing with perishable goods.
It also streamlines public procurement for impacted rural and agro-industrial sectors, modernizes the export guarantee framework, and revives a program to reimburse taxes within the production chain.
During the announcement, the Brazilian President dismissed the US government's rationale for imposing tariffs on Brazilian goods.
"It is crucial to emphasize that we must not become anxious or overly excited during crises. Crises exist to foster innovation. The troubling aspect is that there are no valid reasons for tariffs against Brazil," he asserted.
While considering the tariff unjustified, Brazil will refrain from implementing reciprocal measures for now, he clarified.
"We are not announcing reciprocity. Observe how adept we are at negotiating. Initially, we want to avoid actions that could worsen our relationship," he remarked.
He referenced one of the justifications provided by the White House for the tariffs: the trial of former President Jair Bolsonaro for allegedly attempting to undermine the government to maintain power, which was deemed a human rights violation.
"Brazil had no grounds for being taxed, and we will not tolerate accusations that we do not uphold human rights in Brazil or that our trial is being conducted arbitrarily," Lula asserted.