By Oliver Griffin and Ana Mano
SAO PAULO (Reuters) – Global agricultural machinery manufacturer Deere & Co.’s sales in Brazil could fall by a single-digit percentage in 2026 amid global uncertainties related to U.S. President Donald Trump’s tariffs and high interest rates in the South American country, an executive said on Thursday.
“Today, a positive scenario would be (like) 2025, but (sales are) likely to decline,” Antonio Carrere, vice president of sales and marketing at the company’s Brazil unit, told Reuters on the sidelines of an industry event, adding that a 5% or 6% decline was possible.
Deere & Co., maker of the green and yellow John Deere tractors, reported a drop in third-quarter profit in August and warned of a bigger hit from Trump’s tariffs than it had previously expected.
The company does not publicly disclose a sales breakdown by country or region, Carrere said, adding that global sales are $55 billion.
The executive mentioned Brazil’s high financial cost, citing interest rates sometimes reaching 18%, describing them as “making things difficult for the client.”
He also mentioned political tension related to the trial of former President Jair Bolsonaro at Brazil’s Supreme Court, as well as testy relations between Trump and Brazilian President Luiz Inacio Lula da Silva.
“Agribusiness is an industry of high and long-term investments. The moment I have uncertainties in the mix, it creates discomfort for the client,” he said. “It’s getting worse. How bad will it get? Only time will tell.”
(Reporting by Ana Mano and Oliver Griffin in Sao Paulo; Editing by Mark Porter, Rod Nickel)
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