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The Lead Brazilian President Luiz Inacio Lula da Silva has denounced the US decision to designate two Brazilian criminal networks as 'terrorists', warning that the label could hinder local law enforcement efforts. Pushback against 'terrorist' label The condemnation came in a message posted to Lula's social media platforms on Friday, in response to an announcement by the administration of US President Donald Trump. On Thursday, US Secretary of State Marco Rubio revealed that he had designated Brazil's two largest criminal groups — the Primeiro Comando da Capital (PCC) and the Comando Vermelho (CV) — 'specially designated global terrorists'. He also outlined plans to add the two groups to the list of 'foreign terrorist organisations', effective June 5. The Data Analysis The 'terrorist' designations freeze all US-based assets connected to the targeted groups, but they can also be used to penalise anyone who offers 'material support or resources' to them. Experts warn that such restrictions could potentially affect financial institutions and even the victims of such groups, including businesses and individuals who might be forced to pay extortion. The Impact Analysis Lula has also expressed concern that the 'terrorist' label could pave the way for US military intervention, a fear he reiterated in Friday's statement. 'We remain fully prepared to develop joint solutions that yield mutual benefits for all nations involved,' Lula wrote. 'However, we will not tolerate the imposition of arbitrary measures from abroad, nor will we accept their use as a pretext to undermine our sovereignty or our economy. Unilateral, non-negotiated measures can undermine the fight against criminals and trigger actions that endanger the lives of people who have absolutely no connection to crime.' The Prediction Security is expected to be a dominant issue in October's presidential race, and this week's 'terrorist' designations are likely to put Lula in an awkward position, forcing him to condemn the label without downplaying the extent of the violence. Lula has attempted to brush off right-wing criticism that he has been lax on crime, pointing to his government's recent $11bn investment in the 'Brazil Against Organized Crime' programme.