Study: Critical Minerals Could Add R$192.1 Billion to Brazil's GDP by 2050

en.Wedoany.com Reported - A study released by the American Chamber of Commerce in Brazil (Amcham Brasil) shows that expanding investment in the critical minerals and rare earth supply chain could add R$192.1 billion cumulatively to Brazil's Gross Domestic Product (GDP) by 2050 and create 750,000 jobs.

The study compares two scenarios for supply chain development. The first scenario, driven primarily by domestic capital and exporting low value-added minerals, would have a cumulative impact of R$128.7 billion on GDP and create 304,000 jobs. The second scenario, which considers greater foreign investment and expanded local processing in Brazil, would raise the GDP impact to R$192.1 billion and create 750,000 jobs.

The gap between the two scenarios represents an additional R$63.4 billion in GDP, R$32.3 billion in household consumption, R$16.1 billion in investment, and 446,000 jobs. The study covers cobalt, copper, graphite, lithium, nickel, and rare earth elements, which are used in batteries, electric vehicles, wind turbines, and electronic devices.

The regions expected to see the greatest economic impact are concentrated in producing states such as Pará, Bahia, Goiás, Piauí, and Minas Gerais, while the strengthening of domestic processing would benefit industrial hubs such as Santa Catarina, São Paulo, Paraná, and Minas Gerais. The survey was prepared by researchers from the Federal University of Minas Gerais (UFMG) and the Federal University of Juiz de Fora (UFJF), with support from the U.S. Chamber of Commerce and industry companies.