As Brazilian President Luiz Inácio Lula da Silva arrives in Washington tomorrow to meet with President Donald Trump, the agenda will certainly be packed with critical issues regarding trade, regional stability and economic growth. But there is a looming threat to the digital economy that President Trump must not overlook: Brazil’s proposed Bill 4675/2025.
For the U.S.-Brazil relationship to thrive, both nations must reject digital policies that stifle innovation and block entrepreneurs from advancing society and human flourishing. Bill 4675 is a direct transplant of Europe’s flawed Digital Markets Act (DMA) and the UK’s DMCC—regimes that have already proven to hamper technological advancement and burden consumers across the pond.
Targeting American Success, Not Misconduct
Bill 4675 is a discriminatory strike against American success that restricts—not advances—competition. Like its European predecessors, this bill targets a narrow set of U.S. technology companies based strictly on their size rather than any specific harmful conduct to consumers. By imposing burdensome, one-size-fits-all obligations on American firms, Brazil risks following Europe on its failing path, creating a regulatory environment that punishes the very companies that have invested billions in the Brazilian digital ecosystem.
Harm to Brazilians and Small Businesses
The real victims of this legislation will be the Brazilian people. Today, Brazilians benefit from a seamless array of digital tools to communicate, shop, advertise and access entertainment. Bill 4675 would restrict how these services are designed, integrated and improved for them.
By preventing companies from offering integrated features, the very all-in-one convenience leading digital services maximize and consumers love, the bill will discourage new business models and delay the rollout of cutting-edge artificial intelligence (AI) and digital tools in Brazil. For the thousands of Brazilian small businesses that rely on low-cost American advertising and cloud tools to reach global markets, this bill represents a significant step backward.
Protecting a $134 Billion Partnership
The economic stakes could not be higher. In 2025, bilateral trade between the U.S. and Brazil reached an estimated $134.1 billion. This relationship supports hundreds of thousands of jobs in both nations. Implementing a digital gatekeeper regime based on European bureaucracy undermines the mutual trust required for such a robust partnership.
If Brazil moves forward with Bill 4675, it sends a message that American investment is no longer welcome on fair terms. This sets a damaging global precedent that encourages other nations to abandon market principles in favor of heavy-handed, anti-innovation mandates.
President Trump Should Be Firm for America
President Trump has been a champion for American innovation and a critic of foreign regulations that unfairly target U.S. workers and companies. As he sits down with President Lula, he must make stopping Bill 4675 a priority.
President Trump should ask President Lula to oppose moving this bill through Brazil’s legislature. Instead, Brazil should embrace a framework that promotes growth and innovation, protects consumers and strengthens the vital economic bond between our two great nations.
Read our letter to President Trump with the U.S. Chamber of Commerce and other trade associations here.
Image via Unsplash.