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Industry Association Calls for Urgent Action from All Three Branches of Government to Prevent the Country from Falling Behind in the International Race for Strategic Minerals
Brazil has one of the largest mineral wealth in the world, but risks falling behind in the global race for so-called rare minerals. This concern was raised by the Brazilian Association of Mineral Research and Mining Companies (ABPM), which calls for urgent action from all three branches of government to ensure the country’s prominence in this scenario.
United States Accelerates Investments in the Rare Minerals Sector
On the international stage, U.S. President Donald Trump ordered an investigation to analyze the impacts of rare mineral imports on national security.
The focus is to reduce dependence on countries like China, which supplies 70% of the rare earth elements used by Americans. One potential consequence could be the imposition of trade tariffs.
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Another initiative from the U.S. government was to grant FAST-41 status to projects deemed essential. The program, launched in 2015, allows for expedited approvals and greater transparency in the licensing process. Projects are listed on an official website, with public updates on the steps completed.
According to Luis Mauricio Ferraiuoli Azevedo, president of the ABPM Deliberative Council, Trump’s intention is to ensure clear and agile rules, not just to pressure for automatic license approvals.
Brazil Faces Similar Barriers
Despite the differences between the two countries, a common point is the difficulty in developing projects on public lands. This includes indigenous areas and conservation units. Azevedo notes that the United States has already begun to unlock this process, while Brazil still encounters barriers.
Rare Minerals: ABPM Presents Suggestions to All Three Branches of Government
ABPM advocates that Brazil reacts decisively to the measures taken by other countries. The entity lists priority actions for the Executive, Legislative, and Judiciary branches.
For the Executive, the main demand is the proper structuring of the National Mining Agency (ANM). The association emphasizes the importance of equipping the agency with human and financial resources, promoting agility, legal security, and modernization of the sector.
In the legislative arena, the entity calls for the recognition of mining as an essential activity. It also advocates for advancements in proposals that encourage investments, highlighting the role of the activity in generating jobs and income.
Regarding the Judiciary, ABPM demands decisions that favor the sector. Among the highlighted points are actions involving the Mineral Resources Inspection Fee (TFRM) and projects in areas close to conservation units and indigenous lands. Azevedo asserts that the Judiciary should not politicize the issue and must ensure legal security.
Investors May Seek Other Countries
The concern is that, in light of U.S. actions, Brazil may lose its attractiveness for investments in critical minerals. According to Azevedo, American investors may prefer to keep their resources in their own country, where there is more clarity in the rules and legal security.
He emphasizes that Brazil can learn from the advancements made abroad. “If you don’t want to copy, at the very least, you have to learn from the lessons that these actions will affect in your own country and in your own business,” he states.
The assessment from ABPM is clear: either Brazil reacts quickly with concrete measures, or it will lose ground in the international competition for a strategic and growing market.
With information from Diário do Comércio.
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