U.S. President Donald Trump has lifted the 40% tariffs on Brazilian food items, including beef, coffee, cocoa, and fruits, that were imposed as a response to the prosecution of former president Jair Bolsonaro. This decision comes after the administration’s recent order to remove tariffs on agricultural products from other countries. The move aims to reduce the cost of food for American consumers and could require a refund of duties collected from Brazilian imports after November 13, according to the White House.

Brazil is a significant supplier of coffee to the US, with a third of the coffee consumed in the country coming from Brazilian sources. Additionally, Brazil has become a key supplier of beef, particularly for burger production. The tariffs had caused retail coffee prices to surge by up to 40% this year, impacting consumers and producers alike. The removal of tariffs is seen as a positive step towards stabilizing food prices and improving trade relations between the two countries.

The decision to lift the Brazilian tariffs demonstrates the effectiveness of trade negotiations and could lead to an increase in Brazilian food exports to the US. Importers are expected to release stored goods from bonded warehouses now that the tariffs have been lifted. The Brazilian beef industry group, ABIEC, has welcomed the move and expressed its commitment to expanding its market share in the US.

Although Trump’s executive order did not address the actions against Brazilian authorities involved in Bolsonaro’s prosecution, it marks a significant shift in trade policy. Brazilian President Luiz Inacio Lula da Silva has welcomed the tariff removal, signaling a positive development in US-Brazil relations. The move is a step towards resolving trade disputes and fostering a more cooperative relationship between the two countries.