In recent days, the Brazilian mining sector has exploded. The cause of the matter is that Trump has once again started the 'trade iron fist', declaring: starting August 1, a 50% tariff will be imposed on Brazilian exports. The purpose is obvious, a typical political maneuver, hitting at the ballot box, capital, and deterrence all at once.

Of course, Brazil is definitely not a soft target; they are also preparing to retaliate with 'reciprocal tariffs'.


However, Brazil is not the United States; this time, the countermeasure may first blow up in its own people's faces.

It is said that the Brazilian Mining Association Ibram has come out to speak, stating that if this continues, our mining sector will have to bear an additional $1 billion in costs each year! Therefore, senior mining executives in Brazil are planning to communicate behind the scenes with American companies, hoping to persuade the Trump administration not to overreach and to return to the negotiation table quickly.


If Trump really imposes a 50% tariff on Brazilian mineral products, it will directly trigger two nuclear-level impacts:

1. Exploding mining costs.

1. Brazil's mining industry will have to pay an additional $1 billion each year (Ibram's solid proof).

2. The global iron ore supply chain is about to be disrupted (Vale's stock price has already started to fall).

3. Mining companies' profits will be cut, which will inevitably lead to a transfer of costs → industrial products will rise across the board.


2. Undercurrents are rising in the crypto market.

1. The mining machinery industry chain may be affected (Brazil is an important mineral-producing country).

2. The dominance of the dollar is being challenged again → Bitcoin's safe-haven property is highlighted.

3. Trump concept tokens (c-64) may be speculated on this opportunity.



Exclusive viewpoint from Fuxiang:

Short-term negative for mining stocks, but positive for c-88 (funds seeking safe-haven).

Pay attention to whether Brazil retaliates with cryptocurrency (the concept of digital real).

Mining machinery manufacturers may be forced to raise prices (benefiting companies like HUT and others).


Risk warning:

Do not touch Brazilian mining-related tokens (they may crash at any time).

Trump's tweets may suddenly reverse the market trend (be cautious with high leverage).

The escalation of the trade war will trigger larger market shocks.


In summary, Trump's imposition of tariffs on Brazilian mineral products is an extension of geopolitical games, directly hitting the mining chain and indirectly stimulating the safe-haven demand in the crypto market. In the short term, mining companies face pressure, and the cost pressure in the industrial chain increases; in the long term, it may promote more countries to explore digital currencies as a safe haven for trade. Bitcoin, as a decentralized asset, once again becomes a refuge for funds amidst global uncertainty. Investors need to closely monitor the developments, Trump's subsequent statements, and the price reactions in the relevant industrial chains, prioritizing defense and looking for opportunities to intervene.#特郎普