Taurus, the leading firearms manufacturer in Brazil, announced its excitement over the termination of the hefty tariffs imposed by the United States on Brazilian products, particularly firearms. This decision was made public on Friday, the 20th, and the company believes it will significantly enhance its competitive edge in the North American market. Taurus calculated that these tariffs had cost them over $18 million due to the 50% taxes on exported firearms, which evidently impacted their cash flow and operational results, leading to an 11% decrease in net operational revenue for the third quarter of 2025 compared to the same period in 2024.

The U.S. market is crucial for Taurus, accounting for nearly 80% of the company's total revenue in firearms and related accessories. Following the announcement of the tariff removal, Taurus's shares surged by 9%, indicating positive market sentiment about the future performance of the company. The stock was trading at R$ 5.70 in the afternoon as investors reacted to the news, highlighting the financial implications of the tariff changes for Taurus's business operations.

The elimination of these tariffs is seen as a pivotal moment for the company, particularly in conjunction with other recent strategic initiatives implemented by the management. This combination of factors is likely to further bolster Taurus's competitiveness in its key markets, especially the United States, where the demand for its products remains strong. The company's leadership is optimistic about leveraging this new opportunity to recover lost revenues and expand its footprint in the firearms sector in the coming years.