Tariff: industry carefully observes Flávio Bolsonaro's speech
Representatives of the Brazilian industry and government are carefully monitoring the participation of presidential candidate Flávio Bolsonaro (PL) in the hearings on the possible imposition of an additional 25% tariff on Brazilian products in the United States. The information was investigated by CNN political analyst Larissa Rodrigues.
The hearings, which extend into the second and final day of debates, bring together representatives from various Brazilian sectors affected by the surcharge, including the CNI (National Confederation of Industry) and segments such as footwear and agribusiness.
Fear that politics will interfere in technical negotiations
According to Larissa Rodrigues, sources from both the CNI and sectors directly affected by the possible overtaxation - which could reach 37.5% - reported a fear that the political dimension of the debate will end up complicating technical articulations.
"There is a fear of how much politics can be mixed into this and complicate technical articulations", reported the analyst. The central concern is that the positioning of Bolsonarist allies could bring concrete harm to Brazilian industry, even if part of the business community has sympathy for the political camp represented by Flávio Bolsonaro (PL).
The strategy adopted by the Brazilian industry in the hearings is essentially technical. Representatives of the productive sector seek to demonstrate that the American surcharge could harm the North American market itself, since there are products exported by Brazil that the United States needs and that have no alternative suppliers.
Data released by CNI, obtained first-hand by CNN, indicate that around 4 thousand Brazilian products could be affected, with an impact of almost R$ 15 billion in exports.
Roberto Azevedo represents the CNI at the hearings
To reinforce the technical defense of Brazilian industry, the CNI hired Roberto Azevêdo, former director general of the WTO (World Trade Organization) and former ambassador.
Larissa Rodrigues highlighted that Azevêdo had already negotiated directly with Donald Trump on two occasions during the first American administration - once in Davos and another in Washington - before resigning from his position at the WTO due to the United States' inertia in unfreezing important agendas for the organization.
Azevêdo's presence is seen as strategic due to the weight of his name and the accumulated experience in foreign trade negotiations and North American legislation.
According to the analyst, he arrives at the hearings "very well equipped with information and very well prepared for this meeting", focusing on the argument that overcharging could cause losses to the American market.
Still, the productive sector remains cautious in the face of the possibility that the political component of Flávio Bolsonaro's (PL) participation will interfere with this constructed line of defense.
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Source: CNN