Brazil’s Lula Signs Law to Bar Chinese Goods

Brazilian President Luiz Inácio Lula da Silva signed into law regulations for the use of safeguards against Chinese imports. Brazil now has the legal means to protect itself against an onslaught of Chinese goods.

However, for the safeguards to be activated there is a process with various stages. Initially a formal complaint must be made at the Secretariat of Foreign Trade (housed in the Ministry of Development, Industry and Foreign Trade). At that point the Chinese will be notified and talks will begin to find a solution to the problem without the use of the safeguards.

If safeguards are eventually used, they can remain in effect for a maximum of 12 months. The regulations signed by Lula also have a sunset clause: none of the safeguards in the decree can be used after December 31, 2008.

ABr

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