We ended up becoming friends when many imagined we'd go to war
Lula stated US tariffs on Brazilian products had negligible economic impact, citing falling food prices and improved consumer access to goods. Trump removed 40% tariffs on Brazilian coffee, cocoa, beef and other products in November following phone conversations with Lula, marking a diplomatic shift.
- Trump removed 40% tariffs on Brazilian coffee, cocoa, beef, and other products in November 2024
- Lula and Trump spoke twice by phone and met in person in Malaysia during the year
- Brazil continues negotiating removal of tariffs on additional exports and revocation of Magnitsky sanctions
President Lula downplayed the impact of US tariffs on Brazilian exports as 'irrelevant' and claimed to have developed a friendly relationship with Donald Trump after initial tensions.
President Luiz Inácio Lula da Silva stood in the Palácio do Planalto on a Tuesday afternoon, signing a decree that would recognize gospel music as a cultural manifestation of Brazil. But his mind was on the economy, and he wanted to talk about Donald Trump.
The American tariffs that had loomed over Brazilian exports—the ones that seemed, months earlier, to threaten real damage—had turned out to be less consequential than feared, Lula said. Food prices were falling. People were buying things again. The year was ending well. "Even the taxation that the United States imposed on Brazil ended up being irrelevant," he told those gathered for the ceremony.
It was a striking claim, especially given how the relationship between the two leaders had unfolded. Back in November, Trump had announced the removal of a 40 percent tariff on several Brazilian products: coffee, tea, fruit juices, cocoa, bananas, oranges, tomatoes, and beef. The American president said the decision came after a phone call with Lula. Before that announcement, the situation had been tense. The tariffs had arrived suddenly. Magnitsky Act sanctions—American penalties targeting individuals and entities—had added another layer of pressure. For a moment, it seemed the two countries were headed toward genuine conflict.
But something shifted. Lula and Trump spoke twice by phone during the year. They met in person in Malaysia. The temperature between them cooled. By December, Lula was describing the arc of their relationship with something close to wonder. "When many people imagined that Trump and I would go to war, we ended up becoming friends," he said.
The Brazilian government, however, was not content to declare victory and move on. The Palácio do Planalto had been pushing for more. The 40 percent tariffs on coffee and cocoa and beef were gone, yes—but other Brazilian exports still faced American duties. And the Magnitsky sanctions remained in place. So the negotiations continued, quietly, with Brazil seeking the removal of tariffs on additional products and the revocation of the sanctions altogether.
Lula's characterization of the tariffs as "irrelevant" was, in one sense, a diplomatic gift to Trump—a way of saying the conflict had been overblown, that cooler heads had prevailed, that the friendship was real. But it was also a statement about Brazil's economic resilience. The tariffs had not broken the country. Life had gone on. And now, with prices falling and consumer confidence returning, Lula could point to concrete evidence that the worst had been avoided.
What remained to be seen was whether the negotiations would yield the additional concessions Brazil was seeking, or whether the current arrangement—friendly but incomplete—would hold as the relationship between the two leaders continued to develop.
Citas Notables
Even the taxation that the United States imposed on Brazil ended up being irrelevant— President Lula
When many people imagined that Trump and I would go to war, we ended up becoming friends— President Lula
La Conversación del Hearth Otra perspectiva de la historia
When Lula says the tariffs were 'irrelevant,' is he being honest about the economic impact, or is he managing the political narrative?
Probably both. The 40 percent tariffs on major exports like coffee and beef were real threats, but Trump removed them relatively quickly. So the actual damage was limited. But Lula is also signaling to Trump that he's not bitter, that he's willing to move forward. It's a way of cementing the relationship.
Why does Lula keep pushing for more—the other tariffs, the Magnitsky sanctions—if he's claiming the original tariffs didn't matter?
Because they do matter, even if he won't say so publicly. The removed tariffs covered the biggest exports, but there are other products still facing duties. And the Magnitsky sanctions are a separate humiliation—they target specific people and entities. Lula wants those gone too.
What changed between Trump and Lula? Why did they go from potential conflict to friendship?
Trump got what he wanted—leverage, attention, a phone call with the Brazilian president. Lula got what he wanted—the tariffs lifted. Both sides could claim victory. And maybe there's genuine rapport there too. But the friendship is also transactional. It works as long as both sides keep getting something.
Is Brazil in a stronger or weaker position now than before the tariffs?
Weaker in some ways—the tariffs proved that Brazil's major exports are vulnerable to American pressure. But stronger in others—Lula showed he could negotiate directly with Trump and get results. The question is whether that leverage holds, or whether it was just a moment.