US President Donald Trump and Brazilian President Luiz Inacio Lula da Silva met in Kuala Lumpur on Sunday (October 26th) on the sidelines of an ASEAN summit, signaling a potential thaw in relations after months of trade tensions. Lula called the meeting “excellent” and said the two countries’ negotiating teams would work “immediately” to resolve tariffs and other issues.
After the meeting, Lula emphasized that the representatives of both parties will start talks immediately. “We have agreed that our teams will meet immediately to move forward with finding a solution to the tariffs and sanctions against the Brazilian authorities,” he said in a post on X.
Brazilian Foreign Minister Mauro Vieira described the meeting as “very positive” and described the results as “highly satisfactory”. He said negotiations could be concluded “within a few weeks”.
Trump has previously expressed optimism about resolving the trade conflict. “We should be able to do pretty good deals for both countries,” he said, adding that he believed the leaders were “getting along very well.”
Background tension
The meeting follows a period of strained relations after Trump imposed tariffs in July that raised tariffs on most Brazilian exports to 50 percent from 10 percent. The tariffs were related to the prosecution of former Brazilian President Jair Bolsonaro, a political ally of Trump. Additional sanctions and visa restrictions were later imposed on Brazilian officials and judges.
Trade, Customs and Rare Earth Minerals
Key points of discussion include the resolution of trade disputes investigated by the Office of the U.S. Trade Commissioner, such as regulations regarding U.S. social media companies in Brazil and ethanol industry policies.
Brazil has the second largest reserves of rare earth minerals in the world after China. Lula indicated a willingness to discuss the possibility of expanding the development of minerals used in electric vehicles, advanced weapons systems and medical devices.
The high-level dialogue will continue
Sunday’s meeting was the first official sit-down between the two leaders and the first extended interaction since relations soured over the tariffs. It follows a brief meeting at the UN General Assembly in New York last month that helped pave the way for renewed high-level talks.
Venezuela
