Brazil's Pix payment system sparks trade clash with Washington

U.S. Trade Representative Jamieson Greer argues that because Brazil’s central bank both operates and regulates Pix, the platform receives an unfair advantage over private providers like Visa and Mastercard. The U.S. position, supported by trade groups such as the Information Technology Industry Council, suggests that the system undermines the competitiveness of American firms. Central bank chief Gabriel Galipolo rejects these claims, asserting that Pix acts as a public service—akin to basic sanitation—rather than a direct competitor to commercial card networks.

Since its 2020 launch, Pix has transformed Brazil’s financial landscape, capturing over half of all transaction volume and onboarding 70 million previously unbanked citizens. Its rapid adoption has drawn global interest, with 65 countries signing information-sharing agreements to study the model. President Luiz Inacio Lula da Silva has vowed to maintain the system's current structure, framing the U.S. tariffs as a political assault on a tool that has become essential for small merchants and everyday commerce across the nation.