Brazilian customs strike to impact cargo clearance 

In an escalation of their work-to-rule movement implemented months ago, customs officers have threatened to go on an indefinite strike starting 26 November 2024 

Background 

For several months, tax auditors from the Receita Federal do Brasil – RFB  (Brazilian Federal Revenue Department), Brazil’s customs authority, led by the Union of Tax Auditors (Sindifisco), have adopted a work-to-rule stance due to unmet demands for improved wages, benefits, and career planning from the federal government.  

While previous strike actions caused delays to customs routines-related routines, they did not significantly impact trade and logistics. 

Fully-fledged strike 

Taking advantage of the upcoming Christmas and New Year’s holidays – when Brazil’s foreign trade peaks, particularly with imports of consumer products – the Santos branch of the Union of Customs Officers has announced a full strike commencing on 26 November 2024 for an undetermined period.  

A press release from Sindifisco Santos is attached. It reads as follows, in free translation: 

NOTICE TO SOCIETY

FEDERAL TAX AUDITORS ANNOUNCE INDEFINITE STRIKE 

The Union of Federal Revenue Auditors of Santos informs society that, as of 26 November, the category will enter an indefinite strike. Therefore, from that date onwards, there will be no service to the public in any sector of the Customs Office at the Port of Santos, nor will there be any clearance of cargo, both for imports and exports, including decision-making processes. This decision was made during a National Assembly held on 21 November, prompted by an alleged government’s failure to set up a specific negotiating table to discuss salary adjustment for the category. 

Therefore, from the beginning of the strike period, only perishables, livestock, dangerous goods, medicines, and shipboard provisions will be customs-cleared. 

We would like to emphasise that the Tax Auditors have always been open to dialogue and willing to negotiate, having issued prior warnings to the government that the category could intensify the mobilisation if the negotiating table were not opened. We deeply regret the possible disruptions and losses that Brazilian society would suffer. Yet, given the government’s inaction, the only alternative left to us in the attempt to achieve our goal is to intensify the movement.

(…) 

Impact on shipping  

If the strike is fully adhered to by the Brazilian customs officers, substantial delays and bureaucratic red tape should be expected in the clearance of import and export goods at national ports and airports. It remains to be seen whether the strike would impact the traffic of cargo ships in and out of ports. 

Since port work is considered an essential public service, there is a chance that federal courts would intervene to ensure a minimum flow of essential goods and minimise the impact on foreign trade and shipping. 

We are monitoring the situation and will keep this space updated on significant developments. 

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