Brazil (official name: the Federative Republic of Brazil) is the fifth largest country in the world, both in terms of population and geographic area. It is the seventh largest economy in the world, the largest country and economy in South America.
The tariff rates for most products imported into Brazil range from 10% to 35%.
Most manufactured products imported into Brazil will also be subject to the Industrialized Product Tax (IPI), which is a federal tax applied to most domestic and imported manufactured products. For domestic products it is assessed at the point of sale and for imported products it is levied at the point of customs clearance. Keep in mind however that the tax rate for domestic products might be lower than for imported products in the same product category. This is part of the government’s efforts to provide a preference for domestic manufacturers. IPI tax rates generally range from 0% to 15%.
In many instances, companies which export to Brazil have complained of relatively high tariffs, and a lack of predictability and transparency in the customs administration and the application of taxes. In the aftermath of the global financial crisis, the government appears to have been more willing to resort to protectionist policies.
The World Trade Organization provides the following summary table on tariff rates for broad product groupings: