Lula Administration Braces for Tensions with Trump Over Tech Regulation

Lula Administration Braces for Tensions with Trump Over Tech Regulation
Photo: Getty Images 09.04.2025 208

Social media oversight, democracy defense, and potential sanctions seen as flashpoints in U.S.-Brazil relations.

The Lula administration sees the regulation of social media, the defense of democratic institutions, and potential sanctions against Brazilian authorities—such as Supreme Court Justice Alexandre de Moraes—as likely points of friction with the Trump administration. According to sources within the government, Brasília’s stance in these matters is expected to differ from its approach to President Trump’s tariff hikes or immigration deportations, where negotiation has been prioritized.

Within the presidential palace, the social media dispute is seen as “a preordained conflict.” Officials believe Mr. Trump will continue to side with major tech companies, applying pressure on other countries—as he has done with the European Union, accusing it of threatening American interests through its regulatory policies.

A central concern is Brazil’s legal framework, particularly Article 19 of the country’s Internet Civil Framework, which makes internet providers civilly liable for third-party content. Government insiders indicate that this regulation could provoke direct conflict with Washington, as it impacts the integrity of Brazil’s 2026 electoral process. For the Lula administration, it is essential to ensure that digital platforms adhere to national legislation to curb attacks on democratic institutions and prevent the spread of disinformation.

The belief in a “preordained conflict” is grounded in previous signals from the Trump administration—and reinforced by Brasília’s unwillingness to back down on the issue.

In February, during an AI summit in Paris, U.S. Vice President J.D. Vance criticized the European Union’s regulations on digital platforms and AI, claiming that the bloc uses strict oversight to weaken Silicon Valley firms. The next month, at the Mobile World Congress in Barcelona, Brendan Carr, chair of the U.S. Federal Communications Commission, echoed these worries, cautioning that the EU’s Digital Services Act might overly restrict free speech. He said that the resulting “potential censorship” contradicts American principles of expression.

Brazil intends to share regulatory experiences with European countries, where discussions on social media oversight are more developed. Officials indicate that Brazil’s views are similar to those of the EU. They also note that Elon Musk’s continued influence in the Trump administration could heighten tensions in 2026, given his ownership of the social media platform X.

The Lula administration has adopted a pragmatic approach to sensitive issues with the U.S., such as the deportation of Brazilian nationals and new tariffs on steel and aluminum. Instead of challenging Washington publicly, Brasília has prioritized ensuring the human rights of deportees and maintaining open diplomatic channels to avoid escalating tensions. Officials believe retaliating could harm Brazil's economy, so they focus on saving political capital for more unavoidable confrontations, like potential U.S. sanctions on Brazilian officials. The administration considers any U.S. action limiting free speech an unacceptable interference in Brazil’s internal affairs.

Source: Valor International

digital markets  Brazil 

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