Brazil Cuts Fuel Tax to Offset Oil Price Surge as Iran War Rages On

Brazil’s government is moving to shield consumers from surging oil prices worldwide by cutting federal taxes on the import and sale of fuels, while introducing a levy on crude oil exports to offset the revenue loss.

Under a decree signed Thursday by President Luiz Inácio Lula da Silva, the federal tax, known as PIS/Cofins, was reduced to zero, as escalating conflict involving Iran stokes volatility in international energy markets and threatens to push domestic fuel costs higher.