US trade chief pressed Brazil to review Anglo American nickel sale to China
US Trade Representative (USTR) Jamieson Greer asked Brazil to review the sale of Anglo American’s nickel mines to a Chinese state-controlled miner in exchange for tariff relief, two people familiar with the negotiations told the South China Morning Post. Washington made the request during talks to lift the 50 per cent tariffs US President Donald Trump imposed on Brazilian goods last year. First…
USTR Jamie Shannon Greer urged Brazil to reconsider the sale of Anglo American’s nickel mines to a Chinese state-owned miner, in exchange for tariff relief during trade talks. The request came during discussions to lift the 50 percent tariffs the US had imposed on Brazilian goods a year prior. The proposal would have allowed Washington to have prior notice of mining asset sales, subject rare earth transactions to US review, and enable American companies to purchase the assets before any sale received approval.
Greer also requested Brazil limit investments by non-market actors and foreign entities of concern in mining and other critical industrial sectors. Brazilian officials interpreted the request as targeting China, the country's largest trading partner and a growing investor in its mining sector. The foreign ministry rejected the terms, stating Brazil applies the same rules to foreign investors regardless of their origin.
The American Iron and Steel Institute had asked Greer to intervene months earlier, citing concerns over China's "direct influence" over Brazil's nickel reserves. Anglo American had agreed to sell the business to a Singapore subsidiary of MMG for up to US$500 million in February, with the remaining amount contingent on nickel prices and a final investment decision.
The sale was part of Anglo American's restructuring following a bid from BHP. The assets include nickel operations in Goias state, which produced 39,700 tonnes of nickel last year, and undeveloped projects in Para and Mato Grosso. MMG and its parent company, China Minmetals, are controlled by the Chinese State-owned Assets Supervision and Administration Commission, and China does not produce ferronickel.
Brazilian ferronickel has a higher nickel content and lower carbon footprint, making it difficult for European mills to source elsewhere. An antitrust inquiry was opened in August after CoreX Holding, controlled by Turkish billionaire Robert Yuksel Yildirim, offered US$900 million for the same assets. The European Commission also launched an investigation, warning the deal could affect the price of low-carbon ferronickel and European stainless steel producers.
Written by urgent.news from South China Morning Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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