Brazil’s mining sector began the year on an upward trajectory, though growth remains uneven across commodities. While overall revenues increased, the expansion was largely concentrated in a limited number of minerals, highlighting both progress and structural challenges within the industry.
Gold was the standout performer in the first quarter, with revenues surging 45% to around USD 2.7 billion. This growth was driven by a combination of higher production volumes and a sharp increase in international prices, which climbed by more than 70% over the period.
Copper also delivered strong results, with revenues rising 28%, reflecting growing global demand and the metal’s increasing strategic importance in electrification and energy transition technologies.
In contrast, iron ore, which still accounts for nearly half of the sector’s total revenue, declined by 3%. This suggests a potential moderation in demand or production adjustments, reinforcing the sector’s ongoing dependence on a narrow group of commodities despite early signs of diversification.
Mineral exports reached approximately USD 11.4 billion, marking a 21.5% increase in value, while volumes grew by just 0.9% to 87.9 million tonnes. The gap highlights the dominant role of commodity prices, particularly for gold and copper, whose export revenues rose by 89% and 66%, respectively.
Iron ore remained the leading export, accounting for 53.9% of total shipments, with China continuing to dominate as the primary destination, absorbing roughly two-thirds of Brazil’s mineral exports.
The sector generated a trade surplus of around USD 9.3 billion, representing 66% of Brazil’s total trade surplus during the period, underscoring mining’s macroeconomic importance while also exposing the country to external risks such as geopolitical tensions and fluctuations in Chinese demand.
Despite its resource wealth, Brazil continues to rely heavily on imports of key mineral inputs. Imports rose 29% in value to approximately USD 2.1 billion, with potassium accounting for 50%, followed by coal (29%) and sulphur (7%).
This dependency, particularly on potassium for fertilisers, highlights a critical vulnerability, especially given the concentration of supply from countries such as the United States, Canada, Colombia and Russia.
The mining sector employed just over 230,000 people as of February 2026, adding more than 9,000 jobs over the past year. However, employment growth remains modest relative to revenue expansion, reflecting increased automation and capital intensity.
Geographically, production remains highly concentrated, with Minas Gerais (38%), Pará (35%) and Bahia (6%) accounting for nearly 80% of total output. This concentration is also reflected in royalty revenues, with Minas Gerais and Pará dominating collections.
Total tax contributions reached approximately USD 5.4 billion, while mining royalties (CFEM) totalled around USD 396 million, with iron ore responsible for nearly two-thirds of that figure.
Looking ahead, total mining investments in Brazil are projected to reach USD 76.9 billion between 2026 and 2030, representing a 12.5% increase compared to the previous cycle.
Critical minerals are expected to attract around USD 21.3 billion, signalling a strategic shift aligned with the energy transition. However, iron ore still commands the largest share of planned investments, indicating that structural transformation will take time.
Price dynamics played a decisive role in Q1 performance, with gold (+70%), copper (+37.5%), tin (+52.9%) and aluminium (+20.5%) all posting strong gains, while iron ore remained relatively stable.
As Brazil’s mining sector evolves, balancing traditional commodities with the growing importance of critical minerals, the need for strategic dialogue between industry leaders, investors and policymakers is becoming increasingly important.
The Brazil Critical Minerals Summit 2026, taking place on 17–18 June in Belo Horizonte, will serve as a key platform to address these dynamics, bringing together global stakeholders to discuss investment trends, supply chain resilience and the future of Brazil’s role in the energy transition.
Source:
- Brasil Mineral: https://www.brasilmineral.com.br/noticias/mineracao-brasileira-cresce-6-no-trimestre-puxada-por-ouro-e-cobre
- Mining.com: https://www.mining.com/web/brazil-mining-sector-posts-higher-q1-revenue-ibram-says/
