Brazil drops import tax on small parcels, diverging from US/EU as Shein, Temu expand

Brazil eliminated its federal import tax on small overseas parcels, reversing a prior levy to appease voters ahead of the October 4 presidential election. This contrasts with US and EU moves to close the de minimis loophole that benefits Chinese platforms like Shein and Temu. The policy shift will reduce Brazil's tax revenue but may boost cross-border e-commerce and consumer spending.