New Delhi, May 29 -- The U.S. State Department announced on Thursday that it will designate Brazil's two biggest criminal groups as foreign terrorist organizations early next month, a move the South American nation's government has said it will interpret as undue interference in its politics.

U.S. Secretary of State Marco Rubio said in a statement that the First Command of the Capital, or PCC, and the Red Command, or CV, will be considered foreign terrorist organizations as of June 5. Until then, they will be named as specially designated global terrorists, which hampers their ability to make financial transactions as they are regarded as a threat to U.S. citizens.

Rubio's announcement comes 24 hours after a visit by Sen. Flavio Bolsona...