The confrontational attitude has changed, and the imposition of tariffs is expected to be lifted. The United States is pushing for a new trade strategy with Brazil

The delegations of Brazil and the United States held a meeting in Malaysia on the 27th to discuss the issue of tariffs imposed by the United States on Brazilian products. This is the first meeting between the delegations of Brazilian President Lula and US President Trump during the ASEAN summit. On the 28th, the Brazilian news website "G1" reported that Lula and Trump held a meeting on the 26th. Although the US has not explicitly stated whether it will lift the 50% tariff according to Brazil's wishes, the statements made by Trump and Lula after their talks have led the public to believe that the two countries have the potential to reach a new trade agreement on the tariff issue.

In August of this year, the United States imposed a 40% ad valorem tariff on Brazilian products imported to the United States, with most Brazilian products being subject to a tariff rate as high as 50%. In July, Trump stated that he demanded the Lula administration to stop the judicial investigation into former Brazilian President Bolsonaro, citing "political persecution" as one of the reasons for imposing tariffs. Lula responded by stating that Brazil's judicial process does not allow any interference or threat, and the independence of national institutions cannot be violated. Brazil has repeatedly made tough statements towards the United States, but pragmatic negotiations have also been ongoing.

We had a very good meeting, let's wait and see, "Trump said after the meeting on the 26th. Deutsche Welle reported that Washington's attitude seems to have undergone a 180 degree shift, stating that it is beginning to push for a new strategy for trade with Brazil. Lula is also optimistic about the meeting and its outcomes. He said, 'I think we will reach a good agreement.' His meeting with Trump was unexpectedly good, and he believes that in a few days, the United States and Brazil will find a final solution.

Brazilian Foreign Minister Vieira expressed on the 27th that he hopes to complete bilateral negotiations within a few weeks. Vieira stated that Lula is willing to discuss "all sectors and areas of bilateral trade," as well as key mineral and rare earth issues. Vieira also stated that both sides have established a "timetable for talks".

In addition to suspending tariffs, Lula also stated that his top priority is to negotiate an end to US sanctions on Brazilian officials, including Supreme Court Justice Demorice and Health Secretary Padilla. Brazilian Vice President Alcmin stated that the US government has not yet made specific demands, but the private sectors of both countries have shown strong interest in strengthening their relationship. According to Brazilian media Metropoles, sources revealed that the two sides agreed during the talks that Brazil will send a delegation to Washington as soon as possible, possibly in the first week of November.

CNN Brazil Channel quoted Gaman, Executive Director of Eurasia Group's Americas region, as saying that the shift in US stance towards Pakistan was led by Trump. Gaman stated that there are several factors that have led to political considerations taking a secondary position in the current negotiations. He believes that one of the reasons that led to Trump getting closer to Lula and distancing himself from Bolsonaro is Trump's frustration with the results of the tariffs. Garman mentioned that on the one hand, the US State Department's Brazil policy group is promoting the idea of "reversing the situation where Bolsonaro is no longer eligible to participate in the election," but there is no indication that this will happen, so Trump questions the effectiveness of all measures; On the other hand, the United States is interested in key minerals, while Brazil has significant mineral reserves. "When China suspended exports of key minerals, an earthquake struck Washington. Gaman expressed optimism about reaching a trade agreement between the United States and Brazil, but believed that the United States' expectations for the agreement may deviate from Brazil's reality, and Brazil may not fully accept the United States' demands.

CNN Brazil mentioned in another report that the high prices of meat and coffee, the two main products imported from Brazil, due to tariffs, are the reason for Trump's change in attitude towards Brazil, but this is not the main motivation. According to reports, Trump believes that Bolsonaro has failed in the fight for amnesty, while Lula is expected to be re elected. Bolsonaro was sentenced to 27 years and 3 months in prison in September on charges of plotting a coup and other crimes. On October 27th, Bolsonaro's defense team submitted an appeal request to the Brazilian Federal Supreme Court, requesting a review.

The Brazilian People's Gazette stated that the dialogue between Lula and Trump used key minerals as bargaining chips in tariff negotiations. Some analysts believe that the United States is interested in Brazil's rare earths, coffee, and other products that affect US inflation, while Brazil has the same interest in lifting tariffs. The report also stated that Brazil has geological and environmental advantages in rare earth mining, which is highly attractive to the United States.