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Congress Targets Tariffs: Bipartisan Push to Repeal 50% Brazil Import Tax

U.S. lawmakers challenge Trump-era trade penalties amid coffee price hikes and supply chain tension.

AgroLatam USA

 A bipartisan resolution introduced in the U.S. Senate could overturn a controversial 50% tariff on Brazilian exports, marking a major shift in U.S. trade policy. The measure challenges former President Donald Trump's use of emergency powers to unilaterally impose trade penalties that have disrupted import flows of key commodities like coffee, soybeans, and steel.

Five senators-Rand Paul (R-KY), Jeanne Shaheen (D-NH), Tim Kaine (D-VA), Ron Wyden (D-OR), and Chuck Schumer (D-NY)-back the proposal, asserting that Trump's actions lack a legal foundation under the International Emergency Economic Powers Act (IEEPA).

"There is no economic emergency with Brazil that justifies invoking IEEPA," the resolution states. Lawmakers argue that the decision to impose such steep tariffs-40% in August 2025, on top of an earlier 10% added in April-violated constitutional checks and balances by bypassing Congress.

Impact on Commodity Prices and Supply Chains

The legislation arrives amid growing concern over rising input costs and supply chain pressures. Brazil had historically supplied over 30% of the coffee beans consumed in the U.S., but the 50% tariff drastically reduced imports, leading to price increases for U.S. consumers and coffee roasters. The resolution's sponsors warn that continued trade barriers will only worsen inflation in commodity markets.

Chuck Schumer criticized the tariffs as a political favor to then-Brazilian President Jair Bolsonaro, whom Trump supported. "Trump declared a fake economic emergency just to help a political ally," Schumer said. "It's time for Republicans to help us end this madness and lift this damaging tariff."

While Senator Rand Paul joined the resolution, he took a nuanced stance, denouncing the Brazilian government's treatment of Bolsonaro but emphasizing that "Congress, not the Executive Branch, holds the power to regulate trade."

Political and Legal Implications for U.S. Trade Policy

The resolution could become a precedent-setting case in defining the limits of presidential authority over trade policy. Legal experts and trade analysts see it as a direct response to a broader pattern of executive overreach under IEEPA, a law originally intended for national security threats.

If passed, the resolution would roll back the 40% tariff imposed under IEEPA, though it would not address the 10% penalty levied earlier under general tariff authority. Even a partial repeal could bring immediate relief to sectors that depend on Brazilian imports, including U.S. co-ops and food manufacturers.

The broader debate touches on core issues for American agriculture and trade: how best to protect domestic industries without disrupting vital supply chains, and who truly controls the levers of economic policy. As election-year tensions escalate, the resolution may serve as both economic relief and a constitutional course correction.

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