Key facts
- Brazil will use Uruguay's surplus beef export quota to China, President Luiz Inacio Lula da Silva announced.
- Brazil will not impose retaliatory tariffs on the US while trade talks continue.
- President Lula stated Brazil needs international cooperation, not external oversight, to combat organized crime.
Brazil will utilize Uruguay's surplus beef export quota to China, as announced by Brazilian President Luiz Inacio Lula da Silva following a meeting with Uruguayan President Yamandu Orsi. This arrangement comes as China previously implemented a 55% tariff on beef imports exceeding quota levels from major suppliers, including Brazil. Between November and June, Brazil had dispatched 98.5% of its 1.1 million metric ton beef export quota, with projections indicating it would be fully utilized by August. Industry group Abiec anticipates a 10% year-on-year decrease in Brazil's total beef export volumes in 2026 due to Beijing's restrictions and curbs on Brazilian meat exports to the European Union. Separately, Lula stated that Brazil does not intend to use its reciprocity law against the United States over tariffs imposed by Washington while negotiations continue. The US government announced tariffs of 25% in July on some Brazilian goods, alleging unfair trade practices. Brazil had opened a process that could result in reciprocal measures against Washington in August. Lula also told the UN General Assembly that Brazil needs international cooperation rather than external oversight to combat organized crime, a message he conveyed to US President Donald Trump.