The reciprocity response to the U.S. tariffs is not expected to be completed by December, the government is expected to submit the PLOA by the end of next week, and the issue involving Lula’s son continues

BRAZIL POLITICS - Report 20 Aug 2026 by Murillo de Aragão and Cristiano Noronha

Minister of Development, Industry and Trade Márcio Elias said on Wednesday (Aug. 19) that the economic reciprocity process in response to tariffs imposed by the United States is not expected to be completed by December. Last week, the government announced that it had initiated the reciprocity process in response to recently imposed tariffs. Finance Minister Dario Durigan said on Wednesday (Aug. 19) that the government is expected to submit the Annual Budget Bill (PLOA) by the end of next week. The bill is expected to include a tax rate for the Selective Tax (IS). The issue involving Lulinha, President Lula’s son, continues to generate political fallout. Fábio Luís Lula da Silva, known as “Lulinha”, and lobbyist Roberta Luchsinger used a house in an upscale area of Brasília during their visits to the federal capital. There is significant concern about the potential impact on the campaign, and Lula wants to understand the full scope of the situation.

Now read on...

Register to sample a report

Register
Must have at least 8 characters
Sign-in
Forgot your password?
Copyright 2026 GlobalSource Partners. All rights reserved. This report is prepared for GlobalSource Partners’ clients and may not be redistributed, reproduced, stored in a retrieval system, retransmitted or disclosed, in whole or in part, or in any form or manner, without the express written consent of GlobalSource Partners. This report is distributed simultaneously to our website and other portals used by GlobalSource Partners. The information herein was obtained from various sources and is believed to be reliable but GlobalSource Partners does not warrant its completeness or accuracy. Neither GlobalSource Partners nor any Country Analyst, officer or employee accepts any liability whatsoever for any direct, indirect or consequential damages or losses rising from any use of this report or its contents.