Cocoa sector celebrates end of US tariffs but expects gradual recovery in exports

The National Association of Cocoa Processing Industries (AIPC) celebrated the decision of the United States government, published on November 20, 2025, which confirms the exemption of the additional 40% tariffs on Brazil’s cocoa derivatives. The measure complements the announcement made on November 14, when products such as cocoa butter, liquor and powder were already included in the list of exceptions to the reciprocal 10% tariff applied by the United States.

With the update, all Brazilian derivatives are now completely exempt from the charges imposed during the so-called Liberation Day, restoring the commercial conditions in place before the imposition of the additional tariffs.

Strategic importance of the US market for Brazilian cocoa
The United States plays a central role in the foreign trade of the cocoa processing sector in Brazil. The North American country is among the main destinations for Brazilian exports of derivatives — especially butter, liquor and powder — high value-added products that are essential for the global chocolate and food industry.

This commercial relationship is essential for the viability of industrial operations in Brazil, ensuring the continuous use of installed capacity and the maintenance of jobs throughout the entire cocoa production chain.

Export recovery will be slow and gradual
Despite the positive news, AIPC warns that the economic effects of the exemption will not be immediate. Since the initial announcement of the tariffs, several export contracts have been suspended or canceled by US importers, who sought regulatory security before resuming negotiations.

According to the association, the normalization of external sales should occur gradually, as contracts are renegotiated, inventories reorganized and market predictability restored. Thus, the full impact of the measure should be felt only in the coming weeks and months.

Diplomatic action was decisive in the negotiation
AIPC also highlighted the joint work of the Brazilian government — especially the Ministries of Foreign Affairs, Finance and Agriculture — which acted in a technical and coordinated manner to demonstrate the importance of the cocoa production chain and of bilateral trade with the United States.

According to the association, the result reinforces the role of diplomatic dialogue and institutional coordination in guaranteeing the competitiveness of the Brazilian sector in the international market.

Outlook for the cocoa processing sector
The entity stated that it will continue to monitor implementation of the new directive and that the decision represents a sign of international confidence in the sector. AIPC believes the measure opens the way for the gradual recovery of exports to levels prior to the tariffs, although it acknowledges that the process of commercial recomposition will require time and planning.

The association reaffirmed its commitment to continue working so that this transition takes place safely, sustainably and in a way that benefits the entire cocoa chain in the country.

Source: Portal do Agronegócio

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