Brazil warns of US military force risk after Washington designates two crime groups as terrorist organizations

The designation

In May 2026 the United States classified two Brazilian criminal factions, Primeiro Comando da Capital (PCC) and Comando Vermelho (CV), as foreign terrorist organizations. Washington argued the groups run illicit networks that extend far beyond Brazil's borders, citing drug trafficking and other illegal revenue streams in the country's poor neighbourhoods. President Luiz Inácio Lula da Silva opposed the designation from the start.

Brazil's warning

Foreign Minister Mauro Vieira laid out the government's alarm in a letter to Congress dated 2 July, which was obtained by AFP and published on 6–7 July. He wrote that the unilateral classification could be invoked to justify extraterritorial actions against Brazilian institutions, particularly in financial, migration and criminal matters.

This unilateral classification could be invoked to justify extraterritorial actions against Brazilian institutions.

Vieira added that there had been no formal communication from the US about the intention to designate the groups, and that the measure posed concrete risks to Brazilian sovereignty. He warned that the designation could allow US authorities to apply administrative and judicial measures against Brazilian persons, companies or organisations, even those with no direct link to the United States or only an indirect or involuntary connection to the designated groups.

There is a risk of the United States using military force against national territory.

A pattern of extraterritorial strikes

Since returning to the White House in 2025, Donald Trump has designated several foreign criminal groups as terrorist organisations, including the Sinaloa cartel in Mexico and the Tren de Aragua in Venezuela. Washington has launched deadly attacks against Tren de Aragua inside Venezuela and carried out lethal strikes on vessels identified as belonging to drug traffickers in the Caribbean and the Pacific, without providing evidence, according to the reports.

Trade tensions add to friction

The two countries are also at odds over tariffs. The Trump administration must decide by 15 July whether to impose 25% duties on a range of Brazilian products, following an investigation into alleged unfair trade practices. The Brazilian government rejects the accusations.

Domestic political divide

Brazil's right-wing opposition welcomed Washington's decision, accusing the Lula government of negligence as the country approaches a presidential election scheduled for October. The diplomatic row is unfolding against a backdrop of heightened political sensitivity in Brasília.