Brazil announces 10% reduction on import tax outside Mercosur

With difficulties in advancing negotiations with Mercosur partners to reduce taxes on importing products from outside the bloc, Brazil decided to do this on its own. In a joint note, the Ministries of Economy and Foreign Affairs announced a 10% reduction in the Import Tax rates of 87% on products in the tariff universe, keeping out goods such as automobiles and sugar and alcohol, which are already treated differently by the Bloc. SEE ALSO | Economy Minister: Brazil to insist on changes in Mercosur As Mercosur's rules prohibit the unilateral reduction of tariffs, that is, without the approval of all members of the bloc, Brazil will resort to a device that allows for the possibility of adopting measures aimed at protecting life and health of people. "The use of this device is justified by the urgent situation brought by the Covid-19 pandemic and by the need to be able to have, immediately, an instrument that can contribute to alleviating its negative effects on the life and health ...