According to the Fraser Institute's "Annual Survey of Mining Companies" report, Brazil's position in global mining investment has significantly improved. The report indicates that Brazil has jumped 37 places in the ranking of international mining investment attractiveness, regaining the attention of major investors.

As per Zhongjin's understanding, Brazil is ranked 19th out of 68 evaluated countries and regions, a significant improvement compared to its ranking last year (56th).

In the current fiercely competitive global strategic minerals market, Brazil's achievement highlights its strategic value in the global mining industry. With the increasing demand for key raw materials in batteries, new energy, and high-tech industries, governments and companies are accelerating the search for new resource sources, making Brazil an important alternative choice outside of traditional mining giants.

This rise in the rankings is the result of a combination of factors. Mining executives have improved their evaluation of Brazil's mineral reserves quality and institutional environment, particularly in regulatory framework, tax policies, and policy predictability. In terms of geological potential, Brazil has entered the ranks of countries with strong resource supply capabilities. Additionally, the perception of risk in Brazil has decreased, aiding companies in making investment decisions.

Furthermore, the Brazilian government is making efforts to advance the development of a strategic mineral policy system, transitioning policy focus from resource extraction to promoting domestic industrialization of raw materials through a specialized working group established by the National Mining Policy Council.

The core of this strategy includes shifting Brazil away from continuing to serve as a "commodity exporting country" towards focusing on high-value-added industrial chains such as mineral processing and key component manufacturing, particularly in industries related to energy transition.

In terms of legislation, the Brazilian Congress is considering a proposal to establish a specialized framework for mining, covering mechanisms to reduce financing risks, increase project attractiveness, such as setting up a guarantee fund. The proposal also aims to enhance the predictability of environmental licensing processes, reduce project approval time, and minimize uncertainty in standards, which have been long-standing obstacles for businesses.

While international markets have shown improvement in their assessment of Brazil, the domestic mining sector still faces challenges. Internal disagreements within the government on tax incentives and pressure from environmental organizations have led to the slow formulation of related regulations.

This deadlock directly affects the approval progress of strategic projects, with companies generally finding that regulatory uncertainty increases investment costs and risks, especially in the initial stages of projects.