Brazilian President Louis Inecio Lula Da Silva has flatly refused to talk to US President Donald Trump. He says that “If Trump does not want to talk then why should I call?” This statement came when the US imposed an additional 40% tariff on Brazil’s imports, causing the total tariff to 50%. The move was described by Lula as the saddest day of Brazil-US bilateral relations.

In this stressful atmosphere, Lula clarified that he would now talk to other BRICS leaders, including Chinese President Xi Jinping, Prime Minister of India Narendra Modi and others. He said that “I will call Xi Jinping, I will call Prime Minister Modi. I will not call Putin, because he cannot travel.” This is a clear indication that Brazil will now prioritize diplomatic and business dialogue with BRICS countries instead of America.

Tariff and Brazil’s response by America
According to the warning given by US President Donald Trump, whatever countries will support the policies of BRICS that will be against the interests of America, they will have to pay 10% additional fees. A sudden 40% fee imposed on Brazil has made a huge impact on Brazil’s exports. Lula raised his voice against this decision and said that Brazil would use all available means including the World Trade Organization (WTO) to protect its business interests. Brazil’s Finance Minister Fernando Haddad also commented on this, saying that Lula is ready to take strict steps on the issue.

Judiciary dispute and human rights issue
The Trump administration and the US State Department have also disagreed over a decision by the Brazilian judiciary. In fact, the Supreme Court of Brazil has put former President Zayer Bolsonaro under house arrest on charges of conspiracy to coup. The US has called it a “human rights violation”.

Justice Alexander de Mores, who is overseeing the matter. However, the US has imposed restrictions under the Magnitsky Act. The US alleges that D Mores is misusing the court to suppress the opposition voices. D Morace replied that he will continue to perform his duties.

Brics vs America
This development indicates a significant turn in global politics. On one hand, there is America, which wants to create global relations according to trade protectionism and its priorities. On the other hand there are organizations like BRICS, which are active to create multilateralism and new economic poles. Lula’s contact with BRICS leaders ignoring Trump is a clear indication that Brazil is now moving towards taking an independent stance in global politics.

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US President Donald Trump has once again made a sharp statement about the emerging global alliance BRICS. Trump warned that if this group actually organized, it will end it very soon. Even before this, Trump had warned BRICS countries.

In a statement on Friday (July 19, 2025), Trump said, “If a group named BRICS actually becomes something, I will finish it very soon. We will not let anyone play a game from America.” Trump has threatened to impose 10% import duty on countries associated with BRICS. This fee will apply to those countries which, according to Trump, support anti-America policies. In early July, he made this tariff policy public.

Resolve to maintain dollar as ‘reserve currency’

Trump clearly stated that he would not allow the US dollar global currency status to weaken and will never apply the idea of Central Digital Currency (CBDC) in America. He said, “I will never accept digital dollars. It will eliminate America’s independent financial identity.”

What did BRICs say on Trump’s allegations?

BRICS has dismissed Trump’s allegations. The group says that its aim is to give a shared platform to developing countries, not to oppose America. BRICS countries include Brazil, Russia, India, China and South Africa.

The BRICS group also included new member countries like Iran and Indonesia, moving beyond Brazil, Russia, India, China and South Africa last year. At the BRICS summit held in Brazil, group leaders indirectly criticized the US military and trade policies.

Trump’s target at Brazil

Here, Trump has announced a 50% import duty for Brazil, which will be applicable from August. At the same time, the US has also started a formal investigation of Brazil’s business model, which has been described inappropriate.

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