Lula announces R$30 billion tomorrow for companies affected by tariff hikes

Wellton Max - Reporter from Agência Brasil

Companies affected by Donald Trump's government's tariff hike will receive R$30 billion in credit lines, President Luiz Inácio Lula da Silva recently announced. In an interview with the Band News channel, he revealed the value of the credit aid that will be announced this Wednesday (13).

“Tomorrow, I will launch a provisional measure that creates a credit line of R$ 30 billion for Brazilian companies that may have suffered losses due to Trump's taxation. [This amount of] R$ 30 billion is the beginning. You can't put in more because you don't know how much it will be,” declared Lula, indicating that the amount could increase if necessary.

According to Lula, the plan will prioritize smaller companies and perishable foods.

"We're thinking about helping small businesses that export spinach, fruit, honey, and other things. Machinery companies. Large companies have more staying power. We'll approve [the provisional measure] tomorrow, and I think it'll be important for us to show that no one will be left unprotected by President Trump's taxation," the president continued.

According to Lula, the plan will seek to preserve jobs and seek alternative markets for the affected sectors.

"We're going to take care of the workers at these companies, and we're going to try to find other markets for these companies. We're sending lists of companies that sold to the United States to other countries because we have a motto: no one lets anyone off the hook," he added.

The president also announced that he will help affected business owners fight in the US courts against the tariff hike on Brazilian products. "We're going to encourage businesspeople to fight for markets. We can't just give Trump's taxes away. There are laws in the United States, and we can file a lawsuit. They can fight there," he explained.

Extraordinary credits

Earlier, shortly after public hearing in the SenateFinance Minister Fernando Haddad clarified that the aid measures will come through extraordinary budget credits, resources used in emergency situations outside the spending limits of the fiscal framework. This system was used last year to assist victims of the floods in Rio Grande do Sul.

Without giving details about the plan, Haddad stated that the measures are 100% ready and that they address the demands of the productive sector. He stressed that the proposals were formulated after meetings with several representatives and that they must be “what is necessary to meet the needs of those affected.”