Government should focus on "open channel" to negotiate tariffs, says Azevêdo

In an interview with WW, Roberto Azevêdo, former director general of the WTO (World Trade Organization), defended that the Brazilian government adopts a stance of intense dialogue and creativity in negotiations with the United States to face the new tariffs proposed by the North American government.

The assessment was made amid the release of the USTR (Office of the White House Trade Representative) report, which proposes tariffs of up to 25% on Brazilian products and accuses Brazil of practices considered unfair against North American companies and entities.

Azevêdo explained that the so-called Section 301 has Brazil as the country under investigation and, therefore, the American measure needs to identify specific practices that harm the interests of US industry and companies.

According to him, the Americans deliberately expanded the scope of the investigation to include topics such as anti-corruption, ethanol, intellectual property and deforestation. "They threw a spanner in the works to make sure the outcome of the investigation would be positive," he said.

Open and creative negotiation
For Azevêdo, negotiation does not need to be restricted to the topics listed in the investigation. He highlighted that the range of possibilities is wide and can involve any area of mutual interest.

As an example, he mentioned the possibility of Brazil reconsidering its blockade of the moratorium on electronic transmissions at the WTO - an episode that would have generated dissatisfaction from American negotiator Jamieson Greer. "The sky is the limit, you can negotiate anything," he said.

Azevêdo also pointed out that sectors with high tariffs could serve as a negotiating margin, allowing Brazil to offer tariff reductions in exchange for American counterparts.

"You need to be creative, you need to have an open channel", he stated, highlighting that identifying opportunities involves "an intense dialogue, mutual trust, the ability and desire to negotiate".

Doubts about political viability
Despite pointing out ways to resolve the dispute, Azevêdo demonstrated skepticism about the real chances of an agreement being reached in the short term. He considered that, in an election year in the United States, negotiation may not be the most politically convenient path.

"I have serious doubts whether, in an election year, negotiation is the best result for a context in which animosity, fighting, the external enemy can more easily garner votes", he concluded.

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Source: CNN