Brazil Resolução Gecex nº 770/2025 — Temporary Tariff Increase on Recovered/Kraft Paper and Glyphosate Salt

Mechanism

Resolução Gecex nº 770/2025 is a technical amendment to Resolução Gecex nº 272/2021, the instrument that adapted Brazil's Common Mercosur Nomenclature (NCM) and Common External Tariff (TEC) schedules to the 2022 Harmonized System revision (SH-2022) and that also serves as the recurring vehicle for Brazil's LETEC-style temporary tariff modifications (the same family used by companion resolutions nº 779, 780, 782, 812, 815, 816, 821, 844). Legal basis is Article 6, sections IV and V, of Decreto nº 11.428 (2 March 2023) and Mercosur Common Market Council Decisions 58/10 and 11/21.

Annex V (temporary tariff increases):

• Raw kraft paper/cardboard, uncoated (NCM 4707.10.00) — duty raised to 18%,

valid 1 August 2025–31 July 2026.

• Other recovered (waste and scrap) paper or paperboard (NCM 4707.90.00) —

duty raised to 18%, same validity window.

Annex V (new inclusion):

• Glyphosate and its monoisopropylammonium salt (NCM 2931.49.14) — 3.8%

duty, valid 15 August 2025–14 August 2027.

Annex II (exclusion): carbon steel with ≥0.6% carbon content by weight (NCM 7213.91.10) is removed from the reduced-tariff annex, reverting it to the standard MFN rate.

The resolution entered into force on its publication date.

Downstream implications

• The 18% duty on recovered/waste paper (NCM 4707) raises the landed cost of

imported recovered fibre feedstock for Brazilian paper and packaging mills, incentivising reliance on domestic waste-paper collection rather than imports — a protectionist tilt toward the local recycling/collection chain rather than a strategic-materials measure.

• The glyphosate salt inclusion is a narrow agrochemical-input tariff line;

Brazil is both a major glyphosate importer (active-ingredient) and a major agricultural user, so the 3.8% duty is a modest cost pass-through to domestic formulators rather than a supply-security move.

• This is MFN-applicable (not bilaterally targeted); GTA's flagged

"affected" trading partner (United States) reflects top historical trade volume in the waste-paper line, not a discriminatory design in the resolution text itself.

Open questions

• Whether the waste-paper tariff increase is linked to a domestic

recovered-fibre industry petition (the publication text does not state a rationale) or is routine LETEC-cycle housekeeping.

• Whether the removal of NCM 7213.91.10 from the reduced-tariff annex was

paired with a domestic capacity finding for high-carbon steel. </content>