Mar 25, 2026
Truck Driver Strike in Brazil Averted, at Least for Now
Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.
Brazilian truck drivers had threatened to go on strike last week over high diesel prices and companies that do not pay the mandated minimum freight rate. Last Thursday, the federal government issued a provisional measure that addressed both of their concerns.
The provisional measure reinforces the rules for compliance with the minimum freight floor in the transport of road cargo by increasing the fines for noncompliance from R$1 million to R$10 million per violation. It also establishes mandatory registration of all freight operations allowing the National Land Transport Agency to identify and block operations carried out below the minimum rate. In the event of non-compliance, companies may be suspended temporarily or in the case of repeat offenders, be prohibited to operate for up to two years.
Additionally, the government proposed a 50% reduction of the ICMS tax on fuel until May 31st. The ICMS is a circulation tax issued by individual states and generally ranges from approximately 8% to 13%.
The two provisions seem to have satisfied the truckers for the time being, but they insisted that they needed to see more details before they officially called off the strike. Estimates from the sector itself indicates that Brazil is home to around 790,000 self-employed truck driver and approximately 750,000 drivers employed under formal labor contracts. Truck drivers are critical for the ag sector since approximately 60% of Brazil's grain moves by truck. The last truck driver strike was eight years ago.