Brazil holds the world's second-largest graphite reserves — 74 million metric tons, behind only China. The deposits in Minas Gerais and Bahia are known for high-quality crystalline flake graphite, the preferred feedstock for lithium-ion battery anodes. Yet in 2024, Brazil produced just 68,000 metric tons — a fraction of its geological potential.

Battery-grade graphite demand is expected to triple by 2030. China controls roughly 80% of global processing capacity and has tightened export controls. In response, Western governments and companies are actively seeking alternative supply. The US, EU, and Japan are all prioritising non-Chinese sources of graphite — and Brazil's reserve base puts it directly in that conversation.