Descarbonizar para Competir: Rumo a uma Indústria de Cimento e Aço de Baixo Carbono no Brasil

This report by the Climate Bonds Initiative analyzes the market, policies, and investment opportunities for decarbonizing the cement and steel industries in Brazil. It identifies critical emission sources, evaluates emerging technologies like low-carbon hydrogen and carbon capture, and outlines the regulatory landscape, including the Brazilian Emissions Trading System (SBCE) and the EU's Carbon Border Adjustment Mechanism (CBAM).

• The cement and steel industries are major greenhouse gas (GHG) emitters in Brazil, with cement accounting for approximately 2.5% and steel production contributing 4% of the country's total GHG emissions.
• In cement production, the calcination of limestone is the primary source of CO2, representing about 60% of direct emissions and 70% of the sector's total emissions.
• Brazil possesses comparative advantages for industrial transition, including a predominantly renewable energy matrix and a history of using biomass in steelmaking, where approximately 11% of steel production uses charcoal from planted forests.
• Deep decarbonization depends on emerging technologies such as low-carbon hydrogen (HBC), carbon capture and storage (CCS), and electrification, although these require substantial CAPEX and face infrastructure and maturity challenges.
• Short-to-medium term viable strategies include energy efficiency improvements and the substitution of fossil fuels with biomass or waste-derived fuels (CDR), such as açaí seed husks in cement plants.
• The Brazilian Emissions Trading System (SBCE), established by Law No. 15.042/2024, creates a regulated carbon market based on a cap-and-trade model using Brazilian Emission Quotas (CBEs).
• Green financing is expanding in Brazil, with BRL 100bn (USD 18.7bn) available in total, of which BRL 24bn (USD 4.5bn) is targeted at the construction sector, though only 1% of available credit has been used by the construction and real estate sector.
• The European Union's Carbon Border Adjustment Mechanism (CBAM) acts as an international regulatory pressure that may impact Brazilian exports and incentivize local industry to decarbonize to maintain competitiveness.
• The Brazilian government is using public procurement as a market lever through Decree No. 11.890/2024, which allows preference margins for national goods and services that meet sustainability criteria.
• The New Industry Brazil (NIB) program aims to modernize the national industry by 2033 with BRL 300bn (USD 56bn) in financing, prioritizing low-carbon sustainability and renewable energy.

APA

Alves, S., de Araújo, B. C., & Tanwar, S. (2025). Descarbonizar para Competir: Rumo a uma Indústria de Cimento e Aço de Baixo Carbono no Brasil. Climate Bonds Initiative. https://www.climatebonds.net/files/documents/publications/Decarbonising-to-Compete_Portuguese.pdf

Chicago

Alves, Sheila, Bruno Coloma de Araújo, and Sumedha Tanwar. Descarbonizar para Competir: Rumo a uma Indústria de Cimento e Aço de Baixo Carbono no Brasil. Climate Bonds Initiative, 2025. https://www.climatebonds.net/files/documents/publications/Decarbonising-to-Compete_Portuguese.pdf.

Wikipedia

{{cite report |last1=Alves |first1=Sheila |last2=de Araújo |first2=Bruno Coloma |last3=Tanwar |first3=Sumedha |title=Descarbonizar para Competir: Rumo a uma Indústria de Cimento e Aço de Baixo Carbono no Brasil |publisher=Climate Bonds Initiative |date=October 2025 |url=https://www.climatebonds.net/files/documents/publications/Decarbonising-to-Compete_Portuguese.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{alves2025descarbonizar, author = {Alves, Sheila and de Araújo, Bruno Coloma and Tanwar, Sumedha}, title = {{Descarbonizar para Competir: Rumo a uma Indústria de Cimento e Aço de Baixo Carbono no Brasil}}, institution = {Climate Bonds Initiative}, year = {2025}, month = oct, url = {https://www.climatebonds.net/files/documents/publications/Decarbonising-to-Compete_Portuguese.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }