Brazilian fish and beef sectors scramble to soften impact of U.S. tariffs

Two segments of Brazilian agribusiness—fish and beef—remain on the list of products subject to a 50% U.S. tariff and are now moving quickly to minimize the impact in the short term or even secure an exemption from the American government.

With the new deadline for the tariffs to take effect, the Brazilian Association of Fish Industries (Abipesca) estimates it will be possible to ship at least 400 tonnes of fish to the U.S. by August 6. Shipments sent during this period will be taxed after a 90-day window, starting in October, which will provide sufficient time for arrival at U.S. ports.

Earlier this month, it was estimated that 1,500 tonnes of fish were stuck in containers, mainly at ports in the Northeast of Brazil. Some of this volume has since been redirected to other markets, and the rest—slightly under 500 tonnes—will remain in Brazil, said Eduardo Lobo, president of the association, to Valor.

“Shipments that had been suspended—businesses are now rushing to ship as much as possible by August 6. The sector gained six business days to move part of the production. That’s helpful, but it’s a grain of sand in the ocean when we look ahead,” he said.

The measure may ease some of the impact of the tariff hike on the sector, but it is far from a solution. The industry is still awaiting the government’s approval of a R$900 million credit line for working capital and authorization to redeem approximately R$100 million in accumulated tax credits. These two measures could ensure sufficient cash flow until the situation stabilizes to a “reasonable” level.

There is concern about preserving 4,500 jobs in the processing industry and about 20,000 artisanal fishers who supply fish to these companies.

Lobo does not expect a full exemption for Brazilian fish, but he sees the potential for negotiations between governments to align the tariff rate with those applied to seafood from Central American and Caribbean countries. Without such an agreement, he says, the sector will lose competitiveness in international markets. The U.S. accounts for 70% of Brazil’s fish exports, which are estimated to be worth US$600 million in 2025.

A “reasonable outcome,” according to Lobo, would be for governments to negotiate a balanced tariff. The loss of competitiveness in the U.S. market is even more problematic given the lack of viable alternative destinations for Brazilian fish. Europe, a potential option, has maintained an embargo on Brazilian fish products since 2017.

Beef industry hopeful for exemption

Brazilian beef exporters, on the other hand, are still holding out hope for an exemption. Industry sources told Valor that U.S. importers have said they will push to have beef added to the exemption list.

Importers reportedly informed Brazilian business leaders that they are in continuous talks with the Office of the U.S. Trade Representative (USTR) and are also collaborating with congressional committees. Still, buyers acknowledged that “leverage points” are limited, as the final decision on granting an exemption lies with the White House.

Here is a historical overview of Brazilian beef exports to the United States starting from January 2022. The chart was prepared using DataLiner data:

Brazilian Beef Exports to the United States – Jan 2022 to May 2025 – TEU

Source: DataLiner (Click here to request a demo)

Another strategy adopted by importers is to campaign in the U.S. media to highlight the importance of trade with Brazil, especially given the current low cattle supply for slaughter in the U.S.

Brazilian meatpackers view the U.S. as a hard-to-replace customer, due to the specific cuts shipped there (lean forequarter trimmings used in hamburger production) and the premium price paid. Beef was not included in the U.S. exemption list. Combined with existing duties, the out-of-quota tariff will rise to 76.4%, effectively shutting down future trade.

Source: Globo Rural