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Brazil’s Petrobras hikes prices, ignoring Bolsonaro

AFP

Brazilian state-run oil company Petrobras announced hefty increases in gasoline and diesel prices Thursday in response to the Ukraine crisis, ignoring President Jair Bolsonaro’s criticism of what he calls excessive prices.

Petrobras said it would raise the price of gasoline from its refineries by 18.8 percent and diesel by 24.9 percent from Friday, citing the “worldwide surge in the prices of oil and oil derivatives as a result of the war between Russia and Ukraine.”

The company said the move was in line with increases by other fuel suppliers, and emphasized that it had not raised prices in nearly two months.

But the move will likely irk the far-right president, who has been trying to rein in surging fuel prices and inflation more broadly, phenomena which are hurting his popularity as he gears up to seek reelection in October.

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Bolsonaro, who regularly criticizes Petrobras for high prices, said Monday the company’s policy of parity with international prices “cannot continue.”

Petrobras shares dove more than seven percent following the comment.

That echoed a stock plunge of more than 20 percent just over a year ago, when Bolsonaro changed Petrobras’s chief executive after saying the company should not be constantly “surprising people” with price increases.

Bolsonaro is pushing for Congress to pass legislation to bring fuel prices down, though experts say the short-term impact would be minimal.

He is also reportedly looking at decreeing emergency subsidies to lower prices.

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Both measures are unpopular with fiscal conservatives.

Surging prices in Brazil, where the annual inflation rate stands at 10.38 percent, are a weak spot for Bolsonaro as he eyes a tough reelection battle in seven months, likely against leftist ex-president Luiz Inacio Lula da Silva.

The international oil market has been rocked by volatility since Russia invaded Ukraine two weeks ago.

The Brent crude price hit a peak of $139 a barrel Monday, a 14-year high, before falling to around $116 Thursday.

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International

Mexico, Brazil and Colombia left out of Trump’s “Shield of the Americas” summit

Left-wing governments in Latin America, including Mexico, Brazil and Colombia, were excluded from the “Shield of the Americas” summit convened by U.S. President Donald Trump.

The meeting, held in Miami, Florida, brought together 12 presidents from across the continent to discuss strategies to combat drug cartels and organized crime.

In Mexico’s case, President Claudia Sheinbaum had recently rejected the use of military force as a solution to the drug trafficking problem. She has argued that her administration’s security strategy is producing results and emphasized that force alone is not the answer.

During the summit, Trump said that most narcotics entering the United States come through Mexico and referred to his previous conversations with Sheinbaum on the issue.

“I like the president very much, she’s a very good person,” Trump said. “But I told her: ‘Let me eradicate the cartels.’ And she said, ‘No, no, no, please, president.’ We have to eradicate them. We have to finish them.”

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The remarks highlighted ongoing differences between Washington and Mexico over how to confront drug trafficking networks operating across the region.

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International

Trump announces 17-nation alliance in the Americas to “destroy” drug cartels

U.S. President Donald Trump announced on Saturday the creation of a 17-nation alliance across the Americas aimed at dismantling drug cartels, during a regional summit held at his golf club in Doral.

Speaking to a group of allied leaders at the Shield of the Americas Summit, Trump said the initiative would rely on military force to eliminate powerful criminal networks operating throughout the hemisphere.

“The heart of our agreement is the commitment to use lethal military force to destroy these sinister cartels and terrorist networks. Once and for all, we will put an end to them,” Trump told the assembled heads of state.

The Republican leader argued that large portions of territory in the Western Hemisphere have fallen under the control of transnational gangs and pledged U.S. support to governments seeking to confront them. He even suggested the potential use of highly precise missiles against cartel leaders.

Before making the announcement, Trump greeted the roughly twelve leaders attending the summit, including close allies such as Javier Milei, Daniel Noboa and Nayib Bukele, whom he described as a “great president.”

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The meeting forms part of Trump’s broader regional strategy inspired by his reinterpretation of the Monroe Doctrine, which seeks to reinforce Washington’s influence in the Americas, strengthen security cooperation and counter the growing presence of powers such as China.

Trump pointed to recent U.S. actions in the region as examples of his administration’s approach, including the operation that led to the capture of former Venezuelan president Nicolás Maduro earlier this year.

The summit also takes place amid escalating international tensions following the conflict launched last week by the United States and Israel against Iran.

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International

Trump replaces Homeland Security Secretary Kristi Noem with Senator Markwayne Mullin

U.S. President Donald Trump announced Thursday the departure of Kristi Noem as Secretary of Homeland Security, one of the key architects of the administration’s policy of deporting undocumented immigrants.

Noem, who has been assigned a new role as a “special envoy” to Latin America, will be replaced starting March 31 by Republican Senator Markwayne Mullin, the president said in a message posted on his social media platform Truth Social.

According to media reports, Trump made the decision after Noem’s recent hearings in Congress, during which she faced tough questions regarding the awarding of a major public contract.

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