President Donald Trump has set his sights on Brazilian ethanol, with proposals that, if implemented, could jeopardize a production chain that generates 2.2 million jobs in Brazil. Trump’s statements indicate a possible intention to restrict imports of Brazilian biofuel, favoring domestic American production.
This potential protectionist measure raises a red flag for Brazil’s sugarcane and energy sector, which has ethanol as one of its pillars. The industry fears a significant impact on exports, which could lead to considerable financial losses and, consequently, mass layoffs and economic instability in various regions of the country.
Trump’s position reflects an “America First” approach that prioritizes the internal economic interests of the US, even if it disadvantages trading partners like Brazil. The Brazilian government and sector representatives must closely monitor developments and seek strategies to mitigate the possible negative effects of such policies.
