Brazil's Chamber of Deputies approved a bill on Wednesday that sets rules for the exploration of critical minerals and rare earths. The text includes R$ 5 billion in incentives and a council with veto power over foreign partnerships. The vote came on the eve of a meeting between Presidents Lula and Donald Trump.
The bill, reported by Deputy Arnaldo Jardim, was passed by symbolic vote and now moves to the Senate. It creates the National Council for the Industrialization of Critical Minerals, which can block international agreements that affect the country's economic or geopolitical security.
The text also sets up a guarantee fund with an initial contribution of up to R$ 2 billion from the federal government. Companies in the sector must allocate between 0.3% and 0.5% of gross revenues to research or the fund.
The approval comes amid tensions with the United States. In April, a U.S. company bought the Serra Verde mining firm for US$ 2.8 billion. The project does not create a state-owned company, as some PT members wanted, but it expands executive control over the sector.
