Brazil’s Lula removes import tax on low-value online purchases from platforms like shein and temu

Thursday 14 May 2026 - 12:45

The government of Brazil has decided to eliminate a tax on low-value international online purchases, marking a significant shift in its e-commerce and consumer policy ahead of upcoming elections.

President Luiz Inácio Lula da Silva отменated the levy, which had previously imposed a 20% charge on purchases under 50 dollars made through foreign online platforms such as Shein and Temu. The measure had originally been introduced as a temporary policy but later became permanent following legislative approval.

The decision is seen as a response to growing public dissatisfaction among consumers, who criticized the additional costs on affordable imported goods. However, the policy had also been supported by parts of Brazil’s domestic industry, particularly the textile sector, which argued that it helped reduce unfair competition from low-cost foreign products.

Government officials stated that the tax had contributed to reducing informal imports and improving customs control, but that enforcement goals had largely been achieved, making the continuation of the measure unnecessary.

The repeal comes at a politically sensitive moment, as Brazil approaches a presidential election in which Lula is seeking another term. He is expected to face strong competition from opposition figures, reflecting a closely divided political landscape.