Brazilian rare earth investments to rise 49% by 2029
The Brazilian mineral sector plans to invest $68.4 billion in projects from 2025 to 2029. While the largest absolute investment is expected in iron ore ($19.597 billion), the highest percentage growth is projected for rare earths, with a 49 percent increase compared to 2024–2028, according to information released Tuesday (Oct. 21) by the Brazilian Mining Institute (IBRAM).
“What drives this increase is the expected demand for rare earths. Looking at demand studies from the European Union and the United States, for example, we see high projections,” said Julio Cesar Nery Ferreira, director of Mining Affairs at IBRAM. “These minerals have already been identified in several states, such as southern Minas Gerais, where we have four or five projects, as well as in Goiás, Bahia, and other states.”
Fernando Azevedo, vice president of IBRAM, reports that, according to global geological surveys, Brazil has the world’s second-largest reserves of rare earths.
In addition to rare earths, the sector is tracking demand projections for minerals considered critical and strategic, including copper, lithium, nickel, cobalt, niobium, zinc, and graphite.
“I have no doubt that investments in critical and strategic minerals will increase even further. This is due to several factors. Some are related to food security, such as potassium and nitrogen phosphate, while others are essential for technology and innovation, like semiconductors and chips. There are also minerals tied to defense and sovereignty, such as those used in special steels, airplanes, radars, and other key applications,” said Raul Jungmann, CEO of IBRAM.
Balance sheet
On Tuesday, the institute also released the main figures for the sector in the third quarter of 2025. Total revenue for the period was $14.1 billion, a 34 percent increase over $10.5 billion recorded in the same period last year.
The states with the largest shares of revenue were Minas Gerais (39%), Pará (35%), and Bahia (4%). The commodity contributing the most to the result was iron ore (52%), which rose 27 percent compared to the third quarter of 2024, generating revenue of $7.4 billion.
In terms of foreign trade, approximately 121 million tons of mineral products were exported, a 6.2 percent increase over the same period last year. Iron ore accounted for 65 percent of exports. China was the main destination for Brazilian mineral exports, receiving 69.3 percent of the total.
Import revenues rose 3.3 percent, totaling $2.5 billion. The main sources of imports were the United States (20.8%), Russia (19.3%), Canada (14.3%), and Australia (11.4%). Demand was highest for potassium (57%), coal (24%), and sulfur (6%).
