Brazilian President Luiz Inacio Lula da Silva has emphasised his country’s growing relationship with China after the United States proposed a new 25% tariff on many Brazilian imports.

Speaking at an event in Goiás state, Lula pointed to Beijing’s decision to recognise Brazil as free of foot-and-mouth disease as evidence that Brazil has alternative trading partners if access to the US market becomes more difficult.

“If you don’t want to buy from me, I will sell to someone else,” Lula said.

US-Brazil Trade Talks Stall

Lula said he learned of the proposed tariffs during ongoing trade discussions with Washington.

According to the Brazilian leader, negotiators from both countries met three times in recent weeks but failed to reach an agreement that could avert the new duties.

The proposed tariffs would mark a significant escalation in trade tensions between the two largest economies in the Americas.

China Offers A Counterweight

Lula contrasted the US tariff proposal with China’s decision to approve imports linked to Brazil’s newly recognised disease-free status.

The development is expected to boost Brazilian agricultural exports to China, which is already Brazil’s largest trading partner.

The episode highlights Brazil’s increasing ability to leverage its economic ties with China as geopolitical and trade tensions with Washington intensify.

Political Blame Game

The Brazilian president also blamed Flavio Bolsonaro for the tariff proposal, accusing the right-wing politician of lobbying Washington to take action against Brazil.

Flavio Bolsonaro, a potential presidential contender and ally of former President Jair Bolsonaro, rejected the accusation and said he had urged President Trump not to impose tariffs on Brazilian companies.

Lula also criticised US Secretary of State Marco Rubio, accusing him of being hostile towards Latin America and Brazil.

Growing Strategic Competition

The dispute comes amid intensifying competition between the United States and China for influence across Latin America.

China has expanded trade, investment and infrastructure links throughout the region, while Washington has sought to maintain its traditional economic and political influence.

For Brazil, the latest tariff dispute may further strengthen the case for diversifying trade partnerships and deepening engagement with Beijing.

(with inputs from Reuters)