US May Impose 50% Tariff on Brazilian Exports
The US threat to impose a 50 percent tariff on Brazilian imports from August 1 is putting pressure on shoe companies that produce shoes in Brazil, writes Footwearnews.com
According to Abicalçados, which represents the Brazilian footwear industry, Brazil is the fifth-largest shoe producer in the world. The country produces more than 800 million pairs of shoes annually, with an export share of about 15%.
"The announcement of an additional 50 percent tariff on Brazilian products in the United States will undoubtedly affect footwear exports, making it more difficult to access the American market," said an Abicalçados spokeswoman.
She added that the Brazilian footwear industry views the US as a strategic partner and “believes that a solution to the impasse can be found by August, given the long-standing relationship between the two countries.” It noted that Brazil’s merchandise exports to the US last month “were 40% higher” than a year ago.
The latest tariff surprise comes as brands like Steven Madden Ltd. have shifted some production to Brazil to avoid steep retaliatory tariffs imposed on China.
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