Bolsonaro Announces Import Tax Cut on Tires to Please Brazil´s Truckers

RIO DE JANEIRO, BRAZIL – In a live stream on Thursday night, January 14th, President Bolsonaro said he intends to clear the import tariff on tires, currently at around 16%, in a move to please truckers. The category is threatening to strike on February 1st.

“Next week, the import tariff on tires should be zeroed for truckers, who are experiencing difficulties,” said Bolsonaro. The measure should be announced next week. During the live stream, Bolsonaro also said he has been talking with representatives of the Ministry of Economy, Mines and Energy and Infrastructure on the price of fuel and cooking gas.

The price of tires is not among the truckers’ claims. The category calls for compliance with the minimum freight price, defined after the 2018 strike, which has not yet become law due to appeals filed by several trade organizations at the Federal Supreme Court (STF) that are still pending judgment.

Truckers also allege that the frequent rises in the price of diesel, which was increased 17 times in 2020, has impacted the profit margin, and call for a review of the national policy on fuel prices.

In Brazil, the price of fuel is governed by the PPI (Price and Import Parity), created in 2016, in a formula that considers international oil prices in dollars and the costs of importers. The truckers’ associations ask for a change in this policy, set by Petrobras, in order for diesel to become cheaper.

The National Council of Road Cargo Transport (CNTRC) and the National Association of Independent Transportation of Brazil (ANTB), which represent over 4,000 independent truckers, say that if these issues are not discussed with the government, the category will strike in two weeks. “We will stop nationwide and the strike will be greater this time than in 2018,” says José Roberto Stringasci, ANTB’s chairman.

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