Brazil President Luiz Inacio Lula da Silva’s defiant response to Donald Trump’s 50% tariff threat was validated Wednesday — at least in the short term — with markets and businesses breathing a collective sigh of relief at the long list of exemptions to the levies.

U.S. President Donald Trump said on Friday that Brazilian President Luiz Inacio Lula da Silva can call him anytime to discuss tariffs and other friction between the countries.

Washington has wielded the threat of 50% tariffs against Brazil to influence the Brazilian judiciary, condemning what it calls a 'witch hunt' against former far-right President Jair Bolsonaro.