The dictator Lula da Silva increased the import tax on tires to 30%

Within the framework of a statist economic model that insists on intervening in markets and raising the tax burden, the regime led by Luiz Inácio Lula da Silva has dealt a new blow to the pockets of Brazilian citizens. Through a stance of tariff protectionism, the central administration has once again resorted to increasing taxes on foreign trade to shield corporate industrial sectors, raising the costs of mass replacement inputs and punishing the working population that depends on daily transportation to generate their income.

In the specific breakdown of the measure, the Import Tax applied to passenger car tires suffered a direct increase, rising from 25% to 30%. This new rate will have a strict validity of 12 months, taking effect from Tuesday, November 10, 2026 until November 9, 2027. The official resolution was adopted by the Executive Management Committee (Gecex) of the Foreign Trade Chamber (Camex) and was formally published in the Official Gazette of the Union on Monday, November 9.

It is worth noting that the ordinary tariff rate for this type of product is set at 16%, but the Petista administration had temporarily maintained it at 25% since October 2024, before partially yielding to the pressure from the national industry, which demanded an even higher protectionist rate of 35%.

Diving into the technical specifications of the increase, the customs adjustment exclusively affects new tires for passenger cars and mixed-use vehicles. In contrast, tires intended for motorcycles and trucks were excluded from the increase, maintaining a relative relief for delivery riders and truck drivers. Additionally, the government has decided to permanently close the automatic licensing mechanism for importers, adding new bureaucratic hurdles to commercial operations.

In practical terms, the negative impact of this tax will fall on those users with high mileage who need to replace their tires frequently, particularly affecting taxi drivers and ride-hailing drivers. This segment of workers primarily sources imported units from China and other Asian countries, markets that currently dominate the replacement sector in the country.

The debate over the measure exposes a deep division among market players:

The National Industry: Represented by the National Association of Tire Industry (Anip) —an organization that groups 19 factories in Brazilian territory and 35,000 direct jobs, among which brands like Bridgestone, Continental, and Dunlop stand out—, the entity celebrated the tariff arguing that the participation of local manufacturers in the replacement market has drastically fallen from 66% recorded in 2019 to 30% in September 2026, justifying the increase to combat what they call "unfair competition".

Importers and Distributors: On the other hand, the Brazilian Association of Tire Importers and Distributors (Abidip) criticized the resolution of the socialist regime, warning that the tax increase will inevitably be passed on to consumers and will cause an unjustified increase in product prices.

Regarding the price transfer mechanism, specialists clarified that the 30% increase directly affects the customs value of the tire upon entering the country (CIF value) and not linearly on the retail price at tire shops or retail stores. The final magnitude of the increase that the user will pay will depend on the level of stock accumulated by resellers, the operational distribution costs, and the commercial competition with domestically produced products. In this scenario of fiscal pressure, the technical recommendation for users is to budget prices at multiple establishments and compare the values of imported products against national ones before making a purchase.