Brazil raises import tariffs on natural rubber

Brazilia – The Brazilian government has decided to increase import tariffs for natural rubber (NR) in a bid to strengthen the trading position of local producers.

In an announcement 15 Aug, the Brazilian ministry of agriculture and livestock said it is raising the NR tax rate to 10.8% from 3.2%  for a period of 24 months.

The move is in response to “conjunctural difficulties” faced by rubber producers in Brazil, according to the ministry.

Domestic suppliers, it said, have lost competitiveness due to sharp decline in prices for NR imported from southeast Asian countries.

The rubber industry "has returned to consuming more products here in Brazil, but it must buy from Brazilian producers,” stated Carlos Favaro, minister of agriculture and livestock.

The 10.8% tax on NR imports, added Favaro, will “strengthen the producers, the production-chain and the industry as well.”