$VALE

Brazil's Supreme Court has formed a majority to uphold a foreign profits tax on overseas subsidiaries, including Vale. The vote is part of an ongoing virtual session closing on 28 August 2026. The tax, disputed since 2001, affects corporate income tax and social contributions. Vale's potential liability is estimated at R$22 billion (US$4.26 billion). The court's final ruling is not yet certain, as any justice can request a review.

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Brazil's Ibovespa index rose 0.51% to 171,907 points, extending its winning streak. Vale shares gained 2.80%, supporting the index, while Braskem shares fell 6.71% due to restructuring news. The Brazilian real weakened slightly against the US dollar.

19 Brazilian cities, including Mariana, joined the 2024 compensation agreement with BHP, Vale, and Samarco for the 2015 Mariana dam collapse. The deal now covers 45 of 49 eligible municipalities, totaling 170 billion reais in compensation. The cities' participation is seen as crucial for Samarco's progress, though some cities and individuals continue legal action in the UK for potentially higher damages.

Iron ore prices rose 0.05% to $95.21/tonne, staying within a $93–$100 range. Vale's shares gained 2.53% to $14.59, while Rio Tinto and CSN Mineração also saw increases. China's iron ore imports rose 6% year-over-year, but steel output fell 3%.

19 Brazilian cities, including Mariana, joined a compensation deal with BHP, Vale, and Samarco for the 2015 dam collapse, bringing total participants to 45. The agreement involves 170 billion reais ($32.74 billion) in compensation, with 6 billion reais for affected cities. The deal is seen as crucial for Samarco's recovery, though four cities and some individuals remain in a separate UK lawsuit.

Vale is exploring a long-term contract to acquire Porto Sudeste, an iron ore export terminal, without an upfront cash payment. The terminal is owned by Trafigura and Mubadala Capital, with bids reportedly ranging from $3B to $3.5B. Vale aims to secure loading capacity while managing capital spending, though the structure may resemble debt-like commitments. The deal could impact freight costs and foreign investment in Brazilian mining.

Vale and ABB expanded their partnership to implement automation and AI in Vale's iron ore plants in Brazil. The agreement, formalized on 11 August 2026, aims to boost productivity and efficiency. A pilot plant saw a 25% productivity increase and a 40% rise in premium ore production. Vale's market cap is $58.22B, with a P/E ratio of 27.4.

Iron ore prices rose 0.35% to $95.28/tonne on August 18, 2026. Vale's NY shares fell 0.51% to $13.68, despite the commodity gain, due to cost concerns. Rio Tinto dropped 0.53% to $96.69. Vale's cost guidance increased, impacting margins. China's steel output fell 3.1% YoY, but iron ore imports rose 6%, supporting prices. Analysts' target prices for Vale range from $13.78 to $17.11.

Vale released a report in Brazil estimating the mining sector's potential value at R$535 billion (US$99 billion) annually by 2035, contingent on policy changes. The report outlines 15 initiatives for the next government, focusing on licensing, integration, regulatory environment, and shared value creation. Vale aims to influence the October election, responding to public pressure for more investment and jobs. The study projects significant tax contributions and job growth, but these figures are