Brazil lifts pre-ban shirt rule as clubs count $200 million revenue loss

Shirts bearing betting-company logos that were manufactured before President Luiz Inácio Lula da Silva's gambling ban took effect on 6 October may continue to be sold, the Brazilian government confirmed, after sports trade association ÁPICE sought guidance on existing stock. The exemption covers manufacturers, distributors, and retailers holding inventory produced under the old rules. New shirts with betting logos remain prohibited, as do stadium advertising, broadcasting agreements, social media promotion, and influencer marketing.

The clarification is narrow. It resolves a specific logistics problem — legally produced shirts, taxes already paid — without softening the underlying prohibition. Lula has said publicly that clubs can find alternative sponsors, a position his government has not moderated.

The financial exposure the exemption leaves untouched is substantial. Brazil's top-flight Serie A clubs earned roughly 1 billion reais in direct betting advertising revenue in 2025, a figure 67 percent higher than the prior year and close to 10 percent of total recurring club income. Flamengo president Luiz Eduardo Baptista has said his club alone faces a loss of 400 million reais, enough to threaten some contractual obligations into 2027. Betting firms have filed challenges against the ban at Brazil's Supreme Federal Court.