In Kuala Lumpur, Malaysia, Brazilian President Luiz Inácio Lula da Silva and U.S. President Donald Trump held their first in-person meeting this Sunday (26) since the start of the tariff crisis between the two countries. The encounter, on the sidelines of the 47th Association of Southeast Asian Nations (Asean) Summit, lasted about 45 minutes and focused on resolving the 50% tariffs imposed by the U.S. on Brazilian products in August. Lula renewed his request for a temporary suspension of the measures during negotiations, while Trump expressed optimism for quick agreements. Brazilian Foreign Minister Mauro Vieira described the dialogue as positive, with teams from both governments starting discussions on the same day.
The conversation took place in a constructive tone, with the leaders addressing the bilateral trade agenda. Before the closed-door meeting, both spoke briefly to the press, where Lula stated there is no reason for conflict between Brazil and the U.S. Trump, in turn, highlighted the honor of meeting the Brazilian president and predicted good outcomes for both nations.
- Tariffs mainly affect beef exports and other agricultural products, with an estimated impact of billions of dollars annually for Brazil.
- U.S. sanctions target Brazilian authorities under the Magnitsky Act, linked to the trial of former President Jair Bolsonaro.
- Technical teams include representatives such as Secretary of State Marco Rubio and Treasury Secretary Scott Bessent from the U.S.
Bilateral trade talks advance with short deadline
Delegations from Brazil and the United States scheduled immediate technical meetings to address the imposed tariffs sector by sector. Minister Vieira reported that the goal is to conclude a bilateral agreement in a few weeks, focusing on balanced solutions for the trade balance.
Trump instructed his team to begin work this Sunday in Malaysia itself. The expectation is that discussions will cover not only the surcharges but also sanctions on authorities, aiming to normalize economic relations.
Lula offers to mediate on regional issues
During the meeting, the Brazilian president offered to act as an intermediary between the U.S. and Venezuela amid regional tensions. Vieira said Trump thanked the offer and agreed with the initiative, opening space for future cooperation in the Caribbean.
The proposal comes in the context of prior talks at the UN in September and reflects Brazil’s strategic role in South America. Brazilian authorities see this as an opportunity to strengthen multilateral ties.
The Venezuela topic did not dominate the agenda but was addressed briefly and positively.
50% tariffs create trade imbalance
The United States maintains a trade surplus of about 410 billion dollars with Brazil over the past 15 years, an argument used by Lula to question the need for tariffs. The measure, raised from 10% to 50% in August, was justified by Trump as a response to alleged political persecutions in Brazil, including the Bolsonaro case.
Vieira emphasized that the dialogue made clear that the criteria for surcharges do not apply to bilateral trade. U.S. trade representatives, such as Howard Lutnick, attended the meeting and signaled flexibility.
The impact falls on Brazilian commodity exporters, with a recorded drop in shipment volumes since the imposition. Analysts predict that a quick agreement could restore trade flows to pre-crisis levels.
A line of sector-specific negotiations should prioritize agriculture and manufactured goods. Brazilian government data indicate market losses to Asian competitors.
Initial statements signal optimism
Trump, speaking to journalists before the meeting, said he feels bad about what Bolsonaro went through in Brazil and described him as honest. However, the former president was not a central topic in the bilateral conversation.
Lula stressed the importance of extraordinary relations between the countries, with no reasons for disagreements. The Republican replied that the U.S. gets along well with Brazil and that the tariff actions were fair up to that point.
Behind-the-scenes of the dialogue show intense coordination
The summit’s tight schedule required quick adjustments for the meeting, with delegations coordinating times amid other commitments. Lula arrived in Malaysia after engagements in Indonesia, while Trump integrated the agenda into his Asian trip.
Official photos show the handshake between the leaders, symbolizing the restart of dialogue. The White House confirmed the meeting started at 4:40 a.m. Brasília time.
Vieira mentioned that the outcome was excellent, with concrete advances on multiple fronts.
