Thread: Brazil's sanctions on the U.S.

it means Brazil is going to make it more expensive for Brazilians to buy American-made products... which means demand for it will go down because very few will be able to pay double for these "luxuries", which means US exports/sales to Brazil will go down...

why is Brazil doing this? one of the economy staples down there is cotton. ever since the US gov started giving US cotton farmers $$ to help them, they've been able to reduce their prices below Brazil's prices... so now Brazil has a hard time selling/exporting cotton. if US gov would stop giving farmers OUR tax $$ to pay their bills they'd be forced to raise their prices and Brazil would be competitive again...

Brazil is pretty much playing fire with fire. the US has done the same recently with steel and other products - i.e. issued sanctions on other countries...

so goes life...

Originally Posted by jmw_man

it means Brazil is going to make it more expensive for Brazilians to buy American-made products... which means demand for it will go down because very few will be able to pay double for these "luxuries", which means US exports/sales to Brazil will go down...

why is Brazil doing this? one of the economy staples down there is cotton. ever since the US gov started giving US cotton farmers $$ to help them, they've been able to reduce their prices below Brazil's prices... so now Brazil has a hard time selling/exporting cotton. if US gov would stop giving farmers OUR tax $$ to pay their bills they'd be forced to raise their prices and Brazil would be competitive again...

Brazil is pretty much playing fire with fire. the US has done the same recently with steel and other products - i.e. issued sanctions on other countries...

so goes life...

Although I can't say with certainty that it is still the case, Brazil's largest export to the U.S. is sugar. They heavily subsidise it and export it at prices below our domestic growers costs.

Brazil also is heavily invested in Methanol, which is how they fuel the vehicles in their country, and they export the major balance of their production to the U.S. as well.

Methanol is made with the byproducts of sugar production. Sugar, at my last look on the subject was Brazil's #1 export to the U.S., followed by Methanol.

I am not particularly in favor of subsidies, but compare cotton with sugar import/export, and you will likely find a large disparity.

This is more likely the inner workings of a foreign aid deal gone awry, not withstanding the failed legal action.

Bring it to the world cup bitches

Originally Posted by jmw_man

Brazil is pretty much playing fire with fire. the US has done the same recently with steel and other products - i.e. issued sanctions on other countries...

but when we do it just and right.When another country does it to us,they are horrible, evil people