In the past few years, China has emerged as a major player in the development of Brazil’s energy infrastructure through massive investment. Recently, the presidents of the two countries signed 40 international agreements in various fields. On that occasion, it was pointed out that China has been Brazil’s largest trading partner since 2009 and that their bilateral trade reached record levels last year, as stated on the Brazilian government website. This further strengthened the strategic partnership between the two nations.
Chinese projects throughout Brazil
Brazil is a country that is far above the global average in terms of the capacity of renewable resources. Although hydropower plants are the most present, other alternative sources have advanced in development. In previous months, more than 80 percent of the total energy produced came from renewable energy sources. Brazil also ranked sixth in the world in terms of installed solar energy capacity in 2023. In October of this year, solar capacity reached about 48 GW, according to data from Ember.
One of the key projects that illustrates the cooperation between China and Brazil is the solar park Always. This huge project covers 840 hectares and includes 446,000 solar panels. Since its launch in June 2024, the park has significantly contributed to the stability of the electricity supply in the region, while according to estimates it will provide enough energy for over 350,000 households annually. In addition, it created hundreds of jobs during construction and continues to employ local residents.
The direct connection with China is actually CTG Brazil, more precisely the subsidiary of China Three Gorges Corporation in Brazil, founded in 2013. This company is fully owned by a Chinese corporation and plays a significant role in Brazil’s energy sector. With investments in 17 hydroelectric plants and 11 wind farms, CTG Brazil manages a portfolio that has a total installed capacity of over 8 GW, positioning it as the second largest private power producer in the country.
One of the famous hydroelectric power plants São Manuelwith a capacity of 700MW is a joint project of Brazilian and Chinese companies, including CTG Brazil.
Chinese investments also extend to the mining sector, where the Chinese Investment Consortium bought a 15 percent stake in CBMM, a Brazilian company that is a leader in the production of niobium, which is key to the production of steel and electronics.
Also, China is investing intensively in electricity transmission projects in Brazil. The project Belo Monte Transmission Lineimplemented in two phases that were successfully completed in 2017 and 2019, is part of a broader plan to improve the electricity transmission infrastructure in Brazil. The idea is to connect the northern part of the country, rich in energy resources, with the industrially developed southeastern region.
It is interesting that investments are very present outside the energy and mining sectors, considering that Chinese companies are actively working to expand their operations in Brazil by developing industrial capacities, especially in the field of electromobility. A well-known example of this is BYD’s investment in a battery production facility in Manaus. Their facility annually produces enough batteries to power 1,000 electric buses.
Energy portal
Source: energetskiportal.rs
