Brazil ends extra diesel import subsidy; R$1.40/liter expires

Brazil's Finance Ministry (Fazenda) allowed the additional R$1.40 per liter subsidy on imported diesel to expire without renewal, ending a temporary measure. This removes a fiscal cost but may raise domestic fuel prices, with potential knock-on effects on inflation and transport costs. The decision signals a shift toward fiscal consolidation, though market impact depends on global diesel prices and domestic pass-through.

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