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The Brazilian government is evaluating a measure that could involve billions by taxing the export of minimally processed critical minerals and silently change the course of the mineral industry.

Written by Caio Aviz
24/04/2026 at 13:19
Updated 24/04/2026 at 13:20
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Proposal under internal discussion seeks to reduce raw material exports and stimulate more advanced stages of the mineral chain in the country

The government of President Luiz Inácio Lula da Silva (PT) is analyzing the creation of a tax on the export of lightly processed critical minerals.

The discussion has been ongoing since 2024 and gained momentum in 2025.

The measure has not yet been defined and remains in a preliminary phase, according to CNN Brasil.

The objective is to stimulate value addition in Brazil and expand the participation of national industry.

President Luiz Inácio Lula da Silva with the Minister of Mines and Energy, Alexandre Silveira. — Image: 12/19/2023 – Ricardo Stuckert / P

Debate on critical minerals gains strength in government

The proposal is part of the formulation of the national policy for critical minerals.

The strategy seeks to reduce the export of materials in initial stages.

The plan also encourages investments in beneficiation, refining, and industrialization in the country.

This movement aims to expand Brazil’s presence in the most profitable stages of the mineral chain.

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What falls under the classification of lightly processed material

Experts heard by CNN Brasil explain that “raw ore” is not the final metallic product.

The term refers to materials in the initial stages of the production chain.

Examples include:

  • Iron concentrates, such as magnetite and hematite;
  • Copper ores, such as chalcopyrite and bornite;
  • Bauxite, in the aluminum chain;
  • Rare earth minerals, such as monazite and xenotime.

These materials undergo initial beneficiation.

However, they do not undergo advanced metallurgical and chemical processes that increase purity and value.

Strategy seeks to increase national added value

The proposal foresees the taxation of products closer to their original state.

Already industrialized items should not be affected.

Intermediate products are also outside the focus.

The measure seeks to stimulate internal production at more advanced levels.

Internal divergences hinder deeper decisions

The topic generates divergences regarding the level of state intervention.

The proposal to create a state-owned company lost momentum in 2025.

Most of the ministries involved resist the idea.

The matter was postponed to 2027, should the government continue.

BNDES and incentives emerge as alternatives

Other solutions began to be discussed.

Among them:

  • BNDES credit lines for industrial projects;
  • Bank participation as a partner in ventures;
  • Incentives for mineral processing in Brazil.

The possible taxation appears as a complementary instrument.

Impacts and risks are still under evaluation

The proposal raises concerns about the competitiveness of the mineral sector.

There is also concern regarding the attraction of foreign investments.

Technical and political analysis is ongoing.

Congress defines limits for mineral policy

The debate is taking place in the Chamber of Deputies.

Rapporteur Arnaldo Jardim (Cidadania-SP) presented a preliminary version of the legal framework.

According to him, there is no room for export restrictions or the creation of a state-owned company.

The text should prioritize attracting investments and market opening.

Federal program can transform the sector

The report foresees the creation of a federal mineral transformation program.

The objective is to encourage more advanced stages of the production chain.

Projects will be differentiated according to the level of value aggregation.

Projects with greater transformation will receive more incentives.

The model seeks to reward companies that go beyond mineral extraction.

Will Brazil be able to balance competitiveness and industrialization when defining the future of critical minerals?


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Caio Aviz

Escrevo sobre o mercado offshore, petróleo e gás, vagas de emprego, energias renováveis, mineração, economia, inovação e curiosidades, tecnologia, geopolítica, governo, entre outros temas. Buscando sempre atualizações diárias e assuntos relevantes, exponho um conteúdo rico, considerável e significativo. Para sugestões de pauta e feedbacks, faça contato no e-mail: avizzcaio12@gmail.com.

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