Brazilian exporters targeting the United States cannot dispatch goods in time to circumvent the 50% tariffs announced by the Trump administration, effective August 1. The White House declared the tariffs on July 9, triggering an immediate rush in shipments, notably in coffee, meat, and pulp sectors, which surged by 96% in the initial two weeks. However, the timeline for shipments to arrive before the deadline has evaporated.
Technical teams at the Port of Santos note that voyages to major U.S. ports average 14 to 18 days. Even if cargoes were left by July 22, they would miss the August 1 deadline. Brazil's Ministry of Development, Industry, Trade, and Services underscores that "import tariffs are applied at the moment goods arrive in the destination country."
Shippers face additional complexities: alternative routes, stopovers, or weather conditions could prolong travel beyond the average 30 days for coffee routes to New Orleans and New York. Currently, more than 70% of Brazilian coffee exports to the U.S. are routed through the Port of Santos.
With tariffs looming, stakeholders are exploring alternative methods. Johanna Foods has initiated legal proceedings against the tariffs. Simultaneously, U.S. trade groups consider proposing tariff exemptions for products not domestically produced. The National Coffee Association suggests coffee, largely imported, could qualify for reduced rates, with Brazil supplying 35% of U.S. imports. The fruit sector, notably mangoes, may also seek relief under such exemptions, given Brazil's position as the third-largest supplier, accounting for 8% of U.S. imports.
Source: DatamarNews