Brazil Faces Risks Amid Potential Tariff Hikes

Currency fragility and sector exposure complicate trade outlook.

While a limited reliance on the U.S. market is seen as a buffer, **Brazil’s** economy confronts vulnerabilities due to currency weakness and sector-specific exposures amid threats of significant tariffs from the **United States**.

Economic Exposure

For **Brazil**, a key advantage in navigating potential tariff increases imposed by **Donald Trump** lies in its economy’s relatively low dependence on the American market.

However, the instability of **Brazil’s** currency, combined with the high vulnerability of certain industries, places the nation in a precarious position.

In 2023, **Brazil** was the ninth-largest goods exporter in the world, with exports valued at $340 billion USD (Statista).