Analysis-Brazil auto market offers warning for US tariff policy
  • April 15, 2025

Analysis-Brazil auto market offers warning for US tariff policy

When Brazil hiked trade barriers in its auto market over a decade ago, the government promised more local manufacturing, reliable jobs and better cars. As the U.S. auto industry confronts major tariffs imposed by President Donald Trump, executives and analysts are drawing parallels with Brazil, once the world's fourth-largest auto market and now a case study in the dangers of protectionism. Philipp Schiemer, former head of Mercedes-Benz in Brazil and Latin America, learned some of those lessons the hard way as he opened a plant in Sao Paulo making luxury cars, which was shut down in 2020.