Portuguese 
English 
Spanish 
3 min of reading 
0 comments 
Finance Minister Proposes Including Critical Minerals in Negotiations with the U.S., While Lula Strengthens Defense of Sovereignty over Strategic Resources.
Fernando Haddad, the finance minister, stated this Wednesday, the 4th, that Brazil can include the exploration of critical minerals and rare earths in negotiations with the United States regarding the tariffs imposed by the U.S. government on Brazilian products.
The statement was made in an interview with BandNewsTV.
Haddad’s Proposal
According to the minister, Brazil, being one of the largest holders of reserves of these minerals, can increase its participation in bilateral trade and attract strategic investments from the United States.
-
Lula’s government will reduce Brazilian families’ debts with discounts of up to 90%; minister reveals when Lula will announce the program.
-
The USA and Australia reach a billion-dollar agreement of $3.5 billion, focusing on the refining of strategic rare earth metals, nickel, gallium, graphite, magnesium, and tungsten to challenge China’s dominance in critical minerals.
-
Dubai faces a decline in tourism with hotel occupancy below 60%, rising costs, extreme heat, and pressure from Saudi Arabia and Qatar, raising doubts about the sustainability of the luxury model.
-
Brazil could gain a “new Petrobras” focused on rare earths if the bill is approved, and the state-owned company would be based in Brasília with the mission of industrializing minerals that the country currently imports.
Haddad emphasized that the North American country is not rich in these elements and that this opens space for cooperation agreements in areas such as the production of more efficient batteries and advanced technologies.
In addition to mining, the minister highlighted that other sectors could benefit from such an approach, specifically citing the data center sector.
Brazil, he said, has a large energy supply to feed processing and data storage structures.
For Haddad, the range of sectors of common interest is broad and can contribute to a more balanced relationship.
Diversification of Partners
Haddad also indicated that the government seeks to avoid excessive dependence on a single economic bloc.
“We do not want only China, or now with the European Union, the European Union to invest in Brazil. We also want the United States to invest,” he stated.
This vision aligns with the strategy of market diversification, which seeks to reduce geopolitical risks and expand the country’s bargaining margin.
U.S. Interest
The topic gained traction after the Chargé d’Affaires of the U.S. Embassy in Brazil, Gabriel Escobar, informed the Brazilian Mining Institute that Washington wants to make agreements to acquire minerals deemed strategic.
This move comes at a time when major powers are seeking to secure supplies of essential raw materials for the technology and defense industries.
What’s at Stake
Rare earths, a group of 17 chemical elements found in products such as smartphones, televisions, digital cameras, and LEDs, are irreplaceable in many applications.
The vast majority of reserves are concentrated in China and Brazil, which has the second-largest global reserve, equivalent to 25% of the identified potential territory.
These minerals play a central role in the manufacturing of permanent magnets, which are essential for wind turbines, electric vehicles, and military equipment such as fighter jets and submarines. With values that can reach thousands of reais per kilo, depending on the element, the sector is highly profitable and strategic.
Global Competition
The race for critical minerals is part of a broader scenario of commercial and technological disputes. The United States, China, and the European Union have sought to secure access to these resources to reduce vulnerabilities and ensure advancements in key sectors.
In this context, Brazil finds itself facing a dilemma: to capitalize on demand to strengthen international partnerships or adopt a more closed stance to preserve control over its production.
-
-
-
7 pessoas reagiram a isso.