Ceará declares state of emergency over U.S. tariff hike

The Government of Ceará declared a state of emergency last Thursday (4) in response to the increase in U.S. import tariffs, which came into effect in August.

In the State’s Official Gazette published that same day, the government added an article on the state of emergency to Law No. 19,384 of August 7, 2025, which establishes exceptional measures to mitigate the economic impacts of the tariff hike.

“The decree allows the State Government to use a budget line earmarked as a contingency reserve, specific to emergency situations. The objective is to enable the execution of support measures for companies affected by the U.S. tariff increase, thereby ensuring the preservation of jobs,” explained Ceará’s Civil House Secretariat.

A state of emergency is declared when there is partial impairment of the government’s response capacity, according to the Federal District Court of Justice. It is considered less severe than a state of calamity.

Emergency or calamity declarations are typically used in cases of natural disasters and were also enacted during the COVID-19 pandemic.

As about half of Ceará’s exports go to the United States, the state is considered one of the hardest hit by the tariff increase.

To mitigate the impact on exporting companies, the government launched a relief package that includes:

• Access to export credit;
• Reduction of financial charges under the Industrial Development Fund (FDI);
• Economic subsidies for companies to maintain business with the U.S.;
• Direct purchases by the state of food products.

Source: Diário do Nordeste

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