Brazil exported approximately US $6.7 million worth of rare earth compounds to China during the first half of 2025. That figure represents a threefold increase compared to H1 2024, signaling a rapid expansion from minimal volumes previously reported
In Q1 2025 alone, Brazil shipped 419 tonnes of rare earth compounds—primarily yttrium and scandium—to China, nearly seven times the total for the entire calendar year of 2024
🔍 Why China Is Turning to Brazil
1. Diversifying Supply amid Chinese Export Controls
As China tightens export restrictions on refined rare-earth elements and processing technology, Brazilian sources have become critical for Chinese buyers seeking alternative suppliers Moneycontrol
2. Massive yet Underused Reserves
Brazil ranks among the top holders of rare-earth reserves globally—estimated between 21–30 million tonnes—second only to China and Russia in geologic potential. But its current global production share remains below 1%
3. Strategic Investments & Partnerships
With Chinese investments growing—such as deals in Minas Gerais and Bahia, and partnerships through the Brazil-China Business Council—Brazil’s infrastructure and output are ramping up to meet global green-tech demand
🌐 Broader Trends & Context
- Brazil’s overall exports to China declined in Q1, but rare earths stood out as a growing exception, with volumes expanding sharply while most strategic metals showed strong gains (e.g., copper +180%, manganese +310%)
- China imported over 129,500 tonnes of rare-earth materials in 2024, valued near US $1.5 billion. Historically, top suppliers were Myanmar and Malaysia; Brazil’s share (~60 tonnes in 2024) was negligible—making the 2025 spike notable
📊 H1 2025 Snapshot
| Metric | Volume / Value | YoY Growth |
|---|---|---|
| Rare Earth Exports to China | US $6.7 million | 3× growth vs. H1 2024 |
| Q1 2025 Compound Exports | 419 tonnes | ~7× total 2024 rare earth exports |
| Key Compounds | Yttrium, Scandium | — |
🧠 Strategic Implications
- Shift in global rare-earth supply chains: China is diversifying imports amid geopolitical tensions and export limits.
- Brazil’s rising role: With massive reserves and growing production capacity, Brazil is emerging as a viable supplier for strategic minerals—especially yttrium, scandium, and others.
- Western interest: Projects such as Serra Verde and Caldeira ionic-clay mines are attracting investment from U.S. and Australian firms seeking to challenge China’s dominance
✅ Summary
- Brazil’s rare earth exports to China tripled in H1 2025, reaching US $6.7 million, driven by China’s push to diversify critical mineral sourcing.
- Q1 shipments of 419 tonnes—mostly yttrium and scandium—marked a dramatic increase over all previous annual totals.
- With vast reserves and expanding mining infrastructure, Brazil is positioning as a future key player in global rare-earth supply chains.
