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[BUSINESS] · Brazil · 36 sources

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Brazilian Senate prioritizes critical minerals and data center legislation

The Brazilian Senate is advancing two major legislative priorities: a national policy for critical minerals and tax incentives for the data center industry.

Senator Eduardo Braga has been appointed rapporteur for PL 2.780/2024, which establishes the National Policy for Critical and Strategic Minerals. The proposal aims to expand research, extraction, and processing within Brazil to secure supply chains for technologies like electric vehicles and renewable energy. Key provisions include a R$ 2 billion fund for mineral activity guarantees and R$ 5 billion dedicated to the domestic processing and transformation of minerals.

Simultaneously, the Senate is considering PL 278/2026, which proposes the Special Taxation Regime for Data Center Services (Redata). This measure seeks to reduce technological dependency—noting that 60% of Brazil's data and AI workloads are currently processed abroad—by suspending Import Tax, IPI, and PIS/Cofins for five years on equipment purchases. The project aims to make domestic operations more competitive, as current tax burdens make local processing roughly 30% more expensive than international alternatives.

Entities

Brazilian Senate · Cid Gomes · Davi Alcolumbre · Eduardo Braga · Gustavo Pimenta · Leila Barros · Luiz Inácio Lula da Silva · Ministry of Finance · Omar Aziz · REDATA · Senate of Brazil · Vale

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