The recent decision by the United States to raise tariffs on Chinese imports has reignited the debate in Brazil about competition with foreign products, popular "the blouse tax". The national industry fears a flood of Asian imports, pressuring the domestic market. ToEduardo Natal, partner at Natal & Manssur Lawyers, mestre em Direito Tributário pela PUC/SP e presidente do Comitê de Transação Tributária da Associação Brasileira da Advocacia Tributária (ABAT), the Brazilian response to this scenario needs to go beyond simply raising taxes.
Natal explains that increasing the taxation on international remittances can, in fact, counter the advance of these products and protect part of the national industry. However, the measure has a relevant side effect: "Who bears this cost, in the end, it is the consumer. In a moment of pressured income, any change must be carefully calibrated to avoid excessive impacts on the population.”
Instead of simply raising taxes, the specialist points out that Brazil can adopt other strategies to balance the competition. Measures such as strengthening customs enforcement, requirements for technical and sanitary certifications and, mainly, stimulus policies for the national industry are viable paths. "Reducing the burden on the production chain and investing in innovation can increase the competitiveness of Brazilian companies without burdening the consumer", affirms.
Furthermore, Natal warns of the risks of regulatory setbacks. Direct restrictions on imports can harm Brazil's position as an open economy integrated into global trade since the mid-1980s. "The ideal is to adopt a set of measures that protect the internal market without compromising the purchasing power of the population", concludes.
With the rapid growth of international e-commerce and the increasing competitiveness of Asian platforms, the debate about the "t-shirt tax" continues on the agenda. Experts argue that any regulatory change should be made with balance, ensuring that both the national industry and consumers are not harmed.
