By Brazil Stock Guide – Vale ($VALE3.SA) expects to reclaim its position as the world’s largest iron ore producer this year, CEO Gustavo Pimenta said during the Exposibram mining conference held in Salvador on Tuesday (Oct. 28). The Brazilian miner lost its global lead after the Brumadinho dam disaster in 2019 but has since rebuilt operations with stronger safety and sustainability standards.
Speaking to Reuters, Pimenta said Vale produced 328 million metric tons of iron ore in 2024 and aims for 325 million to 335 million tons in 2025, enough to surpass rivals such as Australia’s Rio Tinto ($RIO). “We have enormous potential within our operations to develop low-capital, high-grade projects. We’re very optimistic,” he said.
The CEO highlighted that long-term demand for iron ore will remain strong, supported by global population growth, urbanization, electrification, and the ongoing energy transition. Addressing competition from Guinea’s newly operational Simandou mine, Pimenta noted that while additional supply will come to market, it will mostly replace declining output elsewhere. “Even high-grade plants are facing exhaustion, losing capacity and quality,” he said.
Pimenta added that Vale is positioning itself to meet increasingly specialized demand from steelmakers seeking lower-carbon materials. “Vale has a competitive advantage — we are, without a doubt, the most sophisticated iron ore company in the world. We operate 20 blending hubs globally and can deliver products with high, medium, or low iron content,” he said.
He also pointed to Vale’s investments in industrial complexes for low-carbon steel production, particularly in regions with access to cheap natural gas such as the Middle East. Pimenta emphasized that the company’s cultural transformation since Brazil’s dam disasters has made responsible mining central to its identity. “Mining improves people’s quality of life when done responsibly,” he said.
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