BRASILIA, Brazil (AP) — Brazil's president tells The Associated Press that his nation won't embark on a trade war with the United States in a dispute over Washington's failure to eliminate illegal cotton subsidies.
President Luiz Inacio Lula da Silva said in a Tuesday interview that he believes the two nations will negotiate a deal allowing Brazil to back off on imposing a wide range of sanctions against American goods.
Silva says Brazil "will not enter into a war" despite an announcement by his government Monday that it plans tariffs on U.S. products.
The higher tariffs affect goods ranging from U.S. cars to fresh fruit and sunglasses. The World Trade Organization authorized Brazil to set $829.3 million in annual penalties.
