Brazil’s mining sector is facing a serious threat as the US moves to impose a 50 percent tariff on Brazilian products. The Brazilian Mining Institute (IBRAM) has raised concerns about the far-reaching consequences of these measures, which may endanger billions in investment and strain trade relations that have historically benefited both countries.
According to IBRAM, the US - though only accounting for four percent of Brazil’s mineral exports - ranks as the 12th largest importer of Brazilian minerals by volume. IBRAM underlined that including minerals in the tariff hikes could disrupt Brazil’s global partnerships, forcing it to diversify export routes and move away from long-standing US trade ties.
According to the IBRAM’s assessment, the impacts of these new tariffs go beyond the mining sector, which accounted for 47 percent of the trade surplus in 2024. In addition, the Brazilian mining industry’s announced investments of $68.4 billion through 2029 may be subject to downward revision if tariffs are implemented.
Meanwhile, commenting on speculation that the new 50 percent tariffs might stack on top of existing duties on Brazilian steel, Marco Polo de Mello Lopes, president of the Brazilian Steel Institute (IAB), believes this will not result in a cumulative tariff burden, alleviating some concerns within the steel sector.