While most of Brazil's main exports to the United States are exempt from Trump's newly announced 40% tariff, the additional levies — along with Brazil's impending economic retaliation and the likely arrest of former President Jair Bolsonaro — will further strain bilateral ties. On July 30, U.S. President Donald Trump signed an executive order adding 40% tariffs on Brazil, which are set to take effect on Aug. 6, on top of the current 10% the country currently faces. This is in line with Trump's earlier threats to impose 50% tariffs on Brazilian goods, which he justified by citing, among other things, an alleged political persecution of former Brazilian President Jair Bolsonaro and several court rulings against U.S. tech companies.