MercoPress. South Atlantic News Agency

Brazil decides to impose anti-dumping tariff on several Chinese synthetic fibres

Not even Carnival, the essence of the Brazilian soul could escape from the flooding of Chinese manufactured goods

Brazil will apply import tariffs on specific goods from China and the United States, the latest measures to help stem a flood of cheap imports that is eroding the country's trade balance, according to a statement from the Industry and Trade ministry.

The move comes only days before President Dilma Rousseff is due to travel to China, where she wants to discuss what Brazil considers a lopsided trade balance with the Asian giant: un processed commodities for manufactured goods.

The latest measure is part of a broader effort by Rousseff to get tough on imports, particularly those from China and promote domestic manufacturing which has been loosing competitiveness with an ever appreciating Real.

According to the reports Brazil will slap an anti-dumping tariff of 4.1 US dollars per kilogram on several Chinese-made synthetic fibres, according to a statement by the Industry and Trade ministry.

The levy will be valid for five years and came in response to a demand by Brazil's textile industry, the ministry said, without providing additional detail. The government also wants tighter supervision by customs officials to check rising contraband of Chinese products.

Industry leaders say China's cheap currency and export subsidies constitute unfair trade. Press reports saying that most of Brazil’s famous costumes and ornaments were of Chinese origin also had an impact on Brazilian public opinion.

But a rising tax burden and low productivity at home are equally to blame for the falling competitiveness of Latin America's largest economy, analysts say.

Brazil will also apply a provisional anti-dumping tariff for up to six months on a solvent called n-Butanol sold by US chemical companies, including Dow Chemical Co and Eastman Chemical.