Brazil and South Africa Talk Trade as US Tariffs Push Them Together
Pretoria and Brasilia have turned a shared tariff problem into a plan for minerals, manufacturing and technology - while leaving the poultry and sugar fights unresolved. The post Brazil and South Africa Talk Trade as US Tariffs Push Them Together appeared first on The Rio Times .
In August 2025, Brazil and South Africa engaged in talks to strengthen their trade relationship amidst the impact of US tariffs. The two nations, both facing tariff pressures from the US, discussed potential collaboration in various sectors, including critical minerals, manufacturing, and technology. Their discussions took place at the eighth South Africa-Brazil Joint Commission, co-chaired by ministers Ronald Lamola of Brazil and Mauro Vieira of South Africa.
According to Business Day, bilateral trade between the two countries reached approximately $2 billion in 2025, with Brazil emerging as South Africa's largest trading partner in Latin America and its second-largest in the Americas. However, the relationship was not without its challenges. In July 2026, South Africa imposed a 25% tariff on most imports from Brazil, while Brazil faced a 25% tariff on most of its exports since July 2025.
These tariffs stemmed from disagreements, such as South Africa's accusations of Brazil dumping frozen poultry and South Africa's complaints about subsidized sugar exports from Brazil.
Despite these disagreements, the two governments decided to keep the disputes aside for now and focus on boosting trade. The tariff-related challenges were seen as a shared issue that could drive their cooperation. Both governments acknowledged the need for more processing to be done domestically, particularly in the context of the energy transition and the rising demand for critical minerals, which could increase fourfold by 2040.
Lamola highlighted minerals as a key area for growth, emphasizing the potential for demand to quadruple by 2040. Both countries expressed a desire to move beyond a commodity relationship and focus on raising the value of their exchanges rather than just the volume. The talks also touched on agriculture and food security, with both governments recognizing the importance of these sectors.
While the talks made progress, there were concerns raised about the lack of serious modelling of the bilateral supply response. Busi Mavuso, the chief executive of Business Leadership South Africa, pointed out that the process was led by the Department of International Relations and Cooperation instead of the trade department, suggesting that the discussions were more political than economic.
Additionally, no significant analysis of the potential economic impact had been published, which Mavuso deemed essential before advancing any deeper agreement.
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