IMF director in Brazil: US coordinated reaction will generate collective poverty

On Tuesday, Trump announced a global “rates” on imports charged from imports, with other Brazilian products being taxed at least 10%. The date was appointed by the Republican as the “Liberation Day.” The Lula (PT) government has reacted by saying that it will take all possible measures to protect national companies.

The Republican informed its new trade policy, adopting the rule of reciprocity between countries. For this, therefore, it will adopt criteria of how American products are taxed abroad. The goal is to start correcting the $ 1.2 trillion deficit that the country adds to the rest of the world.

Today, China has announced that it will impose additional 34% tariffs on US imports in retaliation of Trump’s rates of the same value. From April 10, there will be 34% for products that add to existing rates.

Now the world itself is going to a path where multilateralism is suffering a very accelerated erosion. I am representing Brazil in a multilateral body, that is, where the various nations are found to discuss monetary and financial issues.

And in a scenario like this, the IMF is weakened, because multilateralism is suffering this erosion. And what is multilateralism? It is exactly that you create a rules -based system, where everyone respects the same rules, such as not practicing dumping, not being able to devalue their currency competitively and create parallel systems … These are rules that we have lived in the last 40 years.

Who created these rules were the United States, said, ‘We lost this game, it’s time to change the rules so we could win.’ And they are imposing it. So the duration of this process will depend on the other pole. André Roncagliarepresentative of Brazil in the IMF