CNI: In the event of US tariffs, we must increase product exceptions

With the hearing on the imposition of United States tariffs on Brazilian products scheduled for this Monday (6), the CNI (National Confederation of Industry) advocates that companies act to expand the list of products exempt from the 25% and 12.5% tariffs, if the measures come into force on July 15.

According to the president of the CNI, Ricardo Alban, of the 13 industrial products impacted by the application of rates that could reach 37.5%, 11 are exported mainly by Brazil.

So, "in the worst case scenario, I hope we can substantially increase the exceptions", he said.

According to the CNI, among the main products exported to the United States that would be affected by the tariffs are:

- Unalloyed pig iron (Brazil exports 73.3%)
- Cane sugar in solid form (52.9%)
- Inedible tallow (37.5%)
- Undenatured ethyl alcohol (72.3%)
- Standard pine wood frames (59.4%)
- Smoke-cured or processed tobacco (72.0%)
- Peptones and their derivatives (33.1%)
- Pine plywood (99.6%)
- Monumental or construction granite (48.9%)
- Wooden piles, palisades, posts and rails (57.8%)
- Aluminum hydroxide (47.5%)

A survey carried out by CNI also shows that around 4,100 products exported by Brazil will be affected if the "worst case" becomes reality, equivalent to US$ 14.9 billion in exports.

For this reason, the president also argues that the work to reverse a possible negative result will not end with the application of rates.

"We have to remember that, by the end of this month, the general rate of 10% for all countries also ends. So we will have even more loss of competitiveness if we stay at 37.5%", he highlights.

Alban also considered the tariff percentage an "exaggeration" and said that the confederation will be present, through Brazilian ambassador Roberto Azevêdo, at the public hearing.

"Several impacted sectors are also present on these two days, to see if we can, technically and reasonably, consider this, I would say, exaggeration of 25% and another 12.5%", he highlighted.

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Azevêdo will represent the CNI at the session in Washington, capital of the USA, tomorrow (7). In addition to him, of the 80 registered to speak at the hearing, 66 must take a stand against the tariff measure.

The final decision by the United States should take place next Wednesday (15).

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Source: CNN