Brazil May Suspend IP Commitments Under New Retaliation Law
As a direct response to the recent trade sanctions imposed by the United States, President Luiz Inácio Lula da Silva has signed the Reciprocity Law into law without vetoes. Approved with bipartisan support in Congress, the new legislation gives Brazil a solid legal basis to retaliate against unilateral commercial actions by other countries, including the suspension of intellectual property obligations.
This legal framework allows Brazil to:
- Impose additional import tariffs;
- Suspend trade concessions;
- Temporarily disregard international commitments on IP rights when targeted by hostile economic measures.
Although Brazil has not yet implemented concrete measures against the U.S., this law signals a strategic shift and prepares the country to respond more assertively on the global stage.
The law includes:
- Proportional retaliation based on economic impact;
- Tariffs on goods and services from the country or economic bloc;
- Suspension of obligations related to IP rights under trade agreements;
- Public consultation and technical evaluation (except in urgent cases that justify immediate action).
This development highlights the need to monitor Brazil’s trade and IP policies constantly. It underscores the importance of relying on local legal counsel to safeguard intangible assets in an evolving regulatory environment.
At Tavares IP, we monitor and analyze legislative developments that impact the global IP landscape. If your company needs guidance on how the Reciprocity Law may affect your rights in Brazil, our team of experts is here to help.
