Brazil's President Calls for Strategic Oil Reserves Amid Middle East Tensions

On March 20, local time, Brazilian President Luiz Inácio Lula da Silva emphasized the need for Brazil to establish strategic oil reserves during his visit to a refinery in Minas Gerais state. According to Jin10, Lula highlighted the escalating conflict in the Middle East and warned that if the situation persists, and if the United States were to target the Strait of Hormuz, the oil crisis could worsen significantly. Earlier, on March 12, the Brazilian government announced the removal of import and sales taxes on diesel while imposing a 12% export tax on crude oil to mitigate the spillover risks from the Middle East tensions.