The order entails an additional 40% tariff on the 10% duties already being levied, but energy products would be exempt.

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.

The president also touted agreements over hundreds of billions of dollars in foreign investment into the United States.