Tariffs Squeeze Brazil's Sugar Industry Amid US Trade Tensions

Tariffs imposed by the administration of U.S. President Donald Trump on Brazilian goods are adding pressure to Brazil's sugar industry, particularly in the

country's northeast region, an industry leader said on Tuesday.



While the majority of Brazil's sugar is produced in the country's key center-south region, centered around the state of Sao Paulo, producers in the northeast supply virtually all of Brazil's U.S. duty-free sugar quota, Renato Cunha, executive president of Brazilian sugar and bioenergy association NovaBio, said in an interview.



Trump imposed a 50% tariff on most Brazilian goods in August 2025. The measure was later replaced by a temporary 10% global import duty after U.S. courts struck it down, but the U.S. president has since proposed a new 25% tariff aimed specifically at Brazil.



The U.S. has until July 15 to decide whether to impose the tariffs.