US-China tensions rise over Brazil's Pix payments and critical minerals

The United States has accused Brazil’s central bank of abusive practices in operating the instant‑payment system Pix, claiming the scheme gives an unfair advantage over U.S. credit‑card issuers and proposing a 25% tariff on Brazilian products. Chinese officials, including the vice‑president of the Bank of China, have expressed interest in adopting Pix for Chinese‑Brazilian commerce, highlighting the system’s fast, fee‑free nature.

At the same time, the G7 group of major economies voiced skepticism toward a U.S. proposal to create a commercial bloc that would fix prices for critical minerals and curb China’s dominance in the sector. The plan, advanced by U.S. Vice‑President JD Vance, faces resistance over cost, governance and market‑distortion concerns, with industry players divided on price‑control mechanisms. The debate underscores broader strategic competition between the United States and China across digital payments and strategic resources.