Brazil Enacts New Trade Law with IP Retaliation Clause

Release Time：2025-04-18 08:59Author：Views：27

Brazil formally established a retaliatory framework against unilateral protectionist measures through the enactment of Law No. 15,122, the Trade Reciprocity Act, on April 11, 2025. Adjustments to intellectual property (IP) provisions within the legislation have drawn industry attention.

The law empowers the Brazilian government to take retaliatory actions against three categories of conduct: unilateral trade, financial, or investment restrictions implemented or threatened by foreign nations; non-compliance with trade commitments owed to Brazil under international agreements; or unilateral imposition of environmental barriers exceeding Brazilian standards. Available countermeasures include import restrictions, suspension of trade and investment concessions, and the controversial suspension of IP rights for foreign entities.

The law strictly limits IP suspension measures to "subsidiary instruments" that may only be activated when conventional retaliatory actions prove insufficient to address hostile policies, subject to compliance with Brazilian domestic legislation and procedures outlined in the WTO's Trade-Related Aspects of Intellectual Property Rights (TRIPS) Agreement.

Specific criteria for triggering retaliatory measures remain undefined, though authorities have clarified that any IP-related actions would require judicial review and adherence to WTO frameworks.

Information source: https://www.planalto.gov.br/ccivil_03/_ato2023-2026/2025/lei/l15122.htm

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