---
title: Rare Earth Elements Processing
type: technology
url: "https://www.envisioning.com/research/stratum/brazil__rare-earth-elements-processing"
hub: stratum
summary: "Brazil holds the world's 3rd-largest rare earth reserves but processes almost none domestically — new government policy aims to build processing capacity and break China's monopoly on REE refining"
---

# Rare Earth Elements Processing

Brazil holds the world's 3rd-largest rare earth reserves but processes almost none domestically — new government policy aims to build processing capacity and break China's monopoly on REE refining
- Technology Readiness Level: 6/9
- Impact: 2/5
- Investment: 3/5
Brazil holds an estimated 21 million tonnes of rare earth element (REE) reserves — the third-largest globally after China and Vietnam. CBMM's Araxá complex in Minas Gerais already produces approximately 100 tonnes per month of REE as a byproduct of niobium mining, making it Brazil's most advanced REE initiative.

The challenge is processing: Brazil exports raw or semi-processed minerals and imports finished products containing the same elements at much higher prices. President Lula framed minerals policy as a matter of independence in 2025: "We won't allow what happened in the last century — exporting ore and buying back expensive products."

Brazil's REE reserves include tantalum (critical for electronics), graphite (battery anodes), and rare earths proper (magnets for wind turbines and EV motors). Developing domestic processing capacity would reduce dependence on Chinese refining — but requires billions in investment, trained workforce, and environmental management for the chemical-intensive separation process. The geopolitical opportunity is clear; the industrial execution remains early-stage.

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Source: Envisioning — Technology Research Institute (https://www.envisioning.com/research/stratum/brazil__rare-earth-elements-processing)