Trump Takes Aim at Brazil’s Pix Payment System
US tariffs target Brazil as its Pix payment system becomes a key issue in the dispute.
Brazil has spent years developing its domestic payments market and reducing its reliance on foreign providers. One of the most important parts of this ecosystem is Pix, an instant payment system launched by the country’s central bank in 2020.
Pix allows users to transfer money and pay for purchases instantly using a mobile phone, payment key or QR code. It works much like a standard bank transfer, but the funds reach the recipient almost immediately. In 2024, the system processed 63 billion transactions with a total value of BRL 26.4 trillion.
The rise of Pix has increased competition in the payments market, particularly for companies handling card transactions and other forms of electronic payment. However, not everyone welcomes the growing influence of Brazil’s homegrown solution.
The United States claims that Brazil gives preferential treatment to Pix, putting American payment companies at a disadvantage. Washington cited the issue as one of the reasons for imposing a 25% tariff on most Brazilian goods.
The decision was announced following a year-long investigation conducted under Section 301. The inquiry covered digital trade, electronic payments and several other issues. The tariffs will take effect on July 22, although some products will be exempt.
The US tariffs are intended to increase pressure on Brazil and its payments market. Washington sees Pix as a threat to American companies because the Brazilian system reduces the role of traditional card networks and foreign payment services.
