Potential investments in Brazil's clean industrial projects exceed $300 billion
2026-06-10 10:05
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en.Wedoany.com Reported - A new report jointly released by the Mission Possible Partnership (MPP) and the Industrial Transition Accelerator (ITA) shows that over the past six months, 19 clean industrial projects worldwide have reached final investment decisions, more than double the number from a year ago, with a total investment scale of approximately $43 billion. Brazil has emerged as one of the most promising markets globally in this field.

According to MPP's global project tracking database, Brazil currently has 34 projects under development. If all these projects reach final investment decisions, they could unlock $306 billion in investments in low-carbon fuels, chemicals, and metals. Among these 34 projects, three aluminum production bases are already operational, and one sustainable aviation fuel (SAF) project has reached a final investment decision. Announced projects also include 25 clean ammonia projects, four clean methanol projects, and another SAF production project. Of the estimated $306 billion, $219 billion is related to renewable energy infrastructure, with $87 billion corresponding to industrial assets.

Clean fuels are one of the most active sectors in Brazil's project portfolio, encompassing SAF, methanol, and clean ammonia production projects. International investment in this area continues to expand, with four SAF plants, nine methanol plants, and three clean ammonia projects reaching final investment decisions in the past six months. The European Union and Asian countries have taken the lead in implementing mandatory SAF usage regulations, stimulating new investments through long-term contract guarantees and predictable investment returns. Brazil holds a competitive advantage in this growing market due to local feedstock availability, vast land area, and experience in the agricultural sector.

In this context, Acelen Renováveis' $1.5 billion SAF biorefinery project in Bahia has reached a final investment decision, becoming the first project in Brazil to receive ITA support and take this critical step. The plant will use the native oilseed crop "macaúba" to produce sustainable aviation fuel. Macaúba is drought-resistant, can grow in low-fertility soils, requires minimal water, and does not compete with food crops for land, making it an alternative with lower environmental impact. It helps decarbonize the aviation industry without harming biodiversity, forests, food security, or other land-use priorities.

ITA Brazil Director Marc Farre Moutinho stated that projects selected by ITA receive specialized support to enhance investment attractiveness, and Acelen's final investment decision exemplifies the effectiveness of this support. Regarding Brazil's SAF projects, ITA has been studying how to improve access for Brazilian high-integrity bio-SAF to international markets, as such market access is crucial for securing offtake contracts and financing.

The report emphasizes that trade agreements on clean industries between countries with complementary capabilities can enhance resilience, competitiveness, and industrial growth. For Brazil, with its abundant renewable resources and growing project portfolio, opportunities extend beyond domestic demand. Brazil is well-positioned to consolidate its status as an exporter of low-carbon industrial commodities, offering competitive products to different international markets. The report also cautions that despite significant progress, converting current momentum into broader, more lasting industrial transformation requires creating stronger markets for clean products, developing trade partnerships linking cheap clean energy regions with major industrial demand centers, and mobilizing public and private capital to de-risk pioneering projects.

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