(Bloomberg) -- Brazil President Luiz Inacio Lula da Silva’s defiant response to Donald Trump’s 50% tariff threat was validated Wednesday — at least in the short term — with markets and businesses breathing a collective sigh of relief at the long list of exemptions to the levies.Most Read from BloombergThe World’s Data Center Capital Has Residents SurroundedAn Abandoned Art-Deco Landmark in Buffalo Awaits RevivalWe Should All Be Biking Along the BeachBudapest’s Most Historic Site Gets a Controver
Turns out if you take a page out of China and Russia’s book and stand up to the bully, more often than not you will win and the bully will back down. (Brazil isn’t the only such example in the Western hemisphere btw, Mexico’s current government has also pretty deftly managed the whole situation imo.)
If you choose to bend the knee and completely cuck yourself like Canada and the Europeans, you will just appear weak and so you still get slapped with the tariffs and you also end up with a much worse deal than you could have had if you stood firm. Being a spineless sycophant is no guarantee of protection.
We’re now seeing which states have genuine sovereignty and which are vassals.