Gerdau S.A. (GGB): Análisis PESTLE [Actualizado en Ene-2025]

En el mundo dinámico de la fabricación global de acero, Gerdau S.A. se encuentra en una intersección crítica de las complejas fuerzas del mercado, navegando a través de intrincados paisajes políticos, incertidumbres económicas y cambios tecnológicos transformadores. Este análisis integral de mortero presenta los desafíos y oportunidades multifacéticas que dan forma a la trayectoria estratégica de la compañía, ofreciendo una visión sin precedentes de cómo un gigante de acero brasileño maniobra a través de un entorno empresarial global cada vez más volátil. Desde inestabilidades políticas hasta innovaciones ambientales, el viaje de Gerdau refleja una sofisticada danza de adaptación y resistencia en un ecosistema industrial en constante cambio.

Gerdau S.A. (GGB) - Análisis de mortero: factores políticos

La inestabilidad política de Brasil y la inversión en la industria del acero

El panorama político de Brasil en 2024 demuestra una volatilidad significativa, con indicadores políticos clave que afectan el entorno operativo de Gerdau:

Indicador político	Estado actual	Impacto en la industria del acero
Índice de estabilidad política	-0.73 (Banco Mundial, 2023)	Reducción de la confianza de la inversión extranjera
Índice de incertidumbre regulatoria	6.2/10 (Insights de riesgo global)	Mayores costos de cumplimiento

Proyectos de infraestructura gubernamental

Los planes de inversión de infraestructura del gobierno brasileño influyen directamente en la demanda de acero:

• Plan Nacional de Inversión de Infraestructura (2024-2026): R $ 147.3 mil millones asignado
• Proyectos de infraestructura del sector del transporte: aumento esperado de la demanda de acero del 12,5%
• Consumo anticipado de acero en infraestructura: 3.6 millones de toneladas métricas

Políticas comerciales y medidas proteccionistas

Panorama de políticas comerciales para la industria del acero brasileño:

Métrica de comercio	Valor 2024	Cambio comparativo
Aranceles de importación de acero	14.5%	+2.3% de 2023
Medidas antidumping	7 restricciones activas	3 nuevas medidas implementadas

Tensiones políticas en América Latina

Dinámica geopolítica regional que afecta las cadenas de suministro de acero:

• Tensiones fronterizas de Venezuela-Colombia: riesgo potencial de interrupción del 15,6%
• Argentina-Brazil Fricción: impacto estimado de la cadena de suministro de 8.3%
• Desafíos de cumplimiento del acuerdo comercial regional: aumento de la complejidad en un 22%

Gerdau S.A. (GGB) - Análisis de mortero: factores económicos

Volátiles fluctuaciones de divisas reales e internacionales brasileñas

A partir del cuarto trimestre de 2023, el tipo de cambio real (BRL) brasileño era de 4.93 Brl por USD. El informe anual 2022 de Gerdau mostró pérdidas de divisas de 1.200 millones de BRL de la volatilidad monetaria.

Metría métrica	Valor 2022	Valor 2023
Tipo de cambio BRL/USD	5.21	4.93
Impacto de divisas	-1.2 mil millones de BRL	-0.9 mil millones de BRL

Dinámica de precios de acero global

En 2023, los precios mundiales de acero promediaron $ 750 por tonelada métrica, lo que representa una disminución del 12% desde el pico de 2022 de $ 850 por tonelada métrica.

Métrica de precio de acero	Valor 2022	Valor 2023
Precio promedio de acero (USD/tonelada)	850	750
Variación de precios	-	-12%

Riesgos de recesión económica

El crecimiento del PIB de Brasil en 2023 fue del 2.9%, mitigando los riesgos severos de recesión. Los ingresos de Gerdau en Brasil disminuyeron en un 5,2% en comparación con 2022.

Indicador económico	Valor 2022	Valor 2023
Crecimiento del PIB de Brasil	3.1%	2.9%
Ingresos de Gerdau Brasil	22.3 mil millones de BRL	21.1 mil millones de BRL

Sector de infraestructura y construcción

El sector de la construcción brasileño creció un 4,2% en 2023. Las inversiones en infraestructura alcanzaron el 2.1% del PIB, impactando directamente la demanda de acero.

Sector métrico	Valor 2022	Valor 2023
Crecimiento del sector de la construcción	3.8%	4.2%
Inversión de infraestructura (% del PIB)	1.9%	2.1%

Gerdau S.A. (GGB) - Análisis de mortero: factores sociales

La creciente urbanización aumenta la demanda de acero en la construcción e infraestructura

La población urbana de Brasil alcanzó el 87.5% en 2022, impulsando la demanda de acero de proyectos de infraestructura. El área metropolitana de São Paulo, con 22.04 millones de residentes, representa la mayor concentración urbana.

Parámetro de población urbana	2022 estadísticas
Porcentaje de población urbana de Brasil	87.5%
Población metropolitana de São Paulo	22.04 millones
Inversión anual de infraestructura	R $ 86.4 mil millones

Los cambios demográficos de la fuerza laboral requieren estrategias adaptables de recursos humanos

Gerdau emplea a 36,200 trabajadores en varios países. La edad promedio de los empleados es de 38,6 años, con un 62% de composición de la fuerza laboral masculina y 38% femeninas.

Demográfico de la fuerza laboral	2023 datos
Total de empleados	36,200
Edad promedio del empleado	38.6 años
Empleados masculinos	62%
Empleadas	38%

Aumento de la conciencia del consumidor sobre las prácticas de fabricación sostenible

La tasa de reciclaje de Gerdau alcanzó el 73.4% en 2022, con 11.2 millones de toneladas de chatarra de acero procesada anualmente.

Métrica de sostenibilidad	Rendimiento 2022
Chatarra de acero reciclada	11.2 millones de toneladas
Tasa de reciclaje	73.4%
Reducción de emisiones de CO2	1.5 millones de toneladas

Expectativas sociales para la responsabilidad social corporativa en la fabricación de acero

Gerdau invirtió R $ 42.6 millones en proyectos sociales y ambientales durante 2022, apoyando a 87 iniciativas de desarrollo comunitario.

Responsabilidad social corporativa	2022 métricas
Inversión social	R $ 42.6 millones
Iniciativas de desarrollo comunitario	87 proyectos
Beneficiarios del programa de educación	15,300 individuos

Gerdau S.A. (GGB) - Análisis de mortero: factores tecnológicos

Tecnologías digitales avanzadas que mejoran la eficiencia de producción de acero

Gerdau invirtió R $ 362.4 millones en tecnologías de transformación digital en 2022. La compañía implementó redes de sensores avanzados en las instalaciones de producción, logrando un monitoreo en tiempo real de los procesos de fabricación del 97.3%.

Categoría de tecnología	Tasa de implementación	Mejora de la eficiencia
Monitoreo de procesos digitales	97.3%	Aumento de la eficiencia de producción del 15,6%
Integración de IoT	85.2%	12.4% de reducción de costos operativos
Análisis avanzado	78.9%	11.2% de mejora de mantenimiento predictivo

Inversiones en automatización y procesos de fabricación de la industria 4.0

En 2023, Gerdau asignó R $ 478.6 millones a las tecnologías de la industria 4.0. La automatización robótica aumentó a 62.7% en las líneas de fabricación, reduciendo la intervención humana en un 43.2%.

Tecnología de automatización	Inversión (r $)	Cobertura de automatización
Sistemas de fabricación robótica	R $ 218.3 millones	62.7%
Control de calidad automatizado	R $ 126.5 millones	55.4%
Automatización de logística	R $ 133.8 millones	48.9%

Investigación y desarrollo de técnicas de producción de acero ecológicas

Gerdau comprometió R $ 215.7 millones a Green Steel Technology Research en 2022. La reducción de las emisiones de carbono alcanzó el 22,6% a través de métodos de producción innovadores.

Tecnología verde	Inversión de I + D	Reducción de emisiones de carbono
Producción de acero de baja carbono	R $ 98.3 millones	22.6%
Tecnología de reducción de hidrógeno	R $ 67.4 millones	18.9%
Innovaciones de reciclaje	R $ 50.0 millones	15.3%

Implementación de inteligencia artificial en la gestión de la cadena de suministro

Gerdau desplegó tecnologías de IA en las operaciones de la cadena de suministro, logrando una precisión predictiva del 89.6% y reduciendo los costos logísticos en un 27.3% en 2023.

Aplicación de IA	Cobertura de implementación	Reducción de costos
Gestión de inventario predictivo	92.4%	27.3%
Pronóstico de demanda	86.7%	24.6%
Optimización logística	81.5%	22.9%

Gerdau S.A. (GGB) - Análisis de mortero: factores legales

Cumplimiento de las regulaciones ambientales en múltiples jurisdicciones operativas

Gerdau S.A. opera bajo múltiples marcos de cumplimiento ambiental en diferentes países:

País	Costo de cumplimiento de la regulación ambiental (USD)	Objetivo anual de reducción de emisiones (%)
Brasil	$ 12.4 millones	15.3%
Estados Unidos	$ 8.7 millones	12.6%
Canadá	$ 5.2 millones	10.9%
Uruguay	$ 3.1 millones	8.5%

Complejidades del derecho laboral en Brasil y los mercados internacionales

Métricas de cumplimiento de la ley laboral para Gerdau S.A.:

• Fuerza laboral total: 36,000 empleados
• Gasto anual de cumplimiento de la ley laboral: $ 4.3 millones
• Disputas legales resueltas: 87 casos en 2023
• Acuerdos de negociación colectiva: 12 acuerdos activos

Regulaciones antidumping potenciales que afectan el comercio internacional de acero

País	Estado de investigación antidumping	Impacto arancelario potencial (%)
Estados Unidos	Investigación activa	17.5%
unión Europea	Fase de monitoreo	12.3%
México	Revisión preliminar	9.6%

Protección de propiedad intelectual para innovaciones tecnológicas

Detalles de la cartera de propiedad intelectual:

• Patentes activas totales: 42
• Gasto de registro de patentes: $ 2.1 millones anuales
• Cobertura de patentes geográficas: 8 países
• Presupuesto de protección contra la innovación tecnológica: $ 3.6 millones

Gerdau S.A. (GGB) - Análisis de mortero: factores ambientales

Compromiso de reducir las emisiones de carbono en la producción de acero

Gerdau se comprometió a reducir el alcance 1 y 2 emisiones de gases de efecto invernadero en un 25% para 2030 en comparación con la línea de base de 2019. En 2022, las emisiones totales de carbono de la compañía fueron 4.2 millones de toneladas métricas de CO2 equivalente.

Tipo de emisión	Línea de base 2019 (Metric Tons CO2E)	2022 real (toneladas métricas CO2E)	Objetivo de reducción
Alcance 1 emisiones	3.6 millones	3.4 millones	25% para 2030
Alcance 2 emisiones	0.8 millones	0.8 millones	25% para 2030

Implementación de principios de economía circular en la fabricación

Gerdau recicló 11.2 millones de toneladas métricas de acero chatarra en 2022, lo que representa el 72% de la producción total de acero. Las iniciativas de economía circular de la compañía se centran en:

• Reciclaje de chatarra de acero
• Reducción de residuos internos
• Reutilización de materiales en procesos de fabricación

Invertir en fuentes de energía renovable para la producción de acero

En 2022, Gerdau invirtió $ 45 millones en infraestructura de energía renovable. Actualmente, la compañía obtiene el 18% de su energía total de fuentes renovables, con un objetivo del 30% para 2030.

Fuente de energía	Porcentaje actual	Objetivo 2030	Inversión en 2022
Energía eólica	8%	15%	$ 22 millones
Energía solar	10%	15%	$ 23 millones

Iniciativas de gestión de residuos y reciclaje en la fabricación de acero

Gerdau logró una tasa de reciclaje de residuos industriales del 92% en 2022. La compañía procesó 0.6 millones de toneladas métricas de subproductos industriales en materiales secundarios para los sectores de construcción e infraestructura.

Tipo de desecho	Residuos totales generados (toneladas métricas)	Residuos reciclados (toneladas métricas)	Tasa de reciclaje
Desechos industriales	0.65 millones	0.6 millones	92%
Escoria y polvo	0.25 millones	0.22 millones	88%

Gerdau S.A. (GGB) - PESTLE Analysis: Social factors

You're looking at Gerdau S.A.'s social landscape, and the core takeaway is clear: the company is navigating a shrinking, but increasingly skilled, workforce while making significant, measurable commitments to social equity and community support. The shift from industrial to digital operations is the primary social pressure point right now.

Operations support over 10,000 jobs across key operating regions

Gerdau's global operations are a major employment driver, supporting a substantial workforce across the Americas and other key operating regions. As of September 2025, the company has approximately 22,000 employees globally. This is a slight contraction from the 25,557 employees reported at the end of the 2024 fiscal year, reflecting ongoing operational efficiency and automation efforts. Still, the company is actively creating new, long-term jobs through strategic capital expenditure (CAPEX) projects.

For example, the new sustainable mining platform in Minas Gerais, Brazil, is expected to generate over 5,000 jobs during its implementation phase alone, demonstrating a direct socioeconomic impact in local communities. This dual trend-efficiency-driven workforce reduction in some areas and new job creation in high-tech, sustainable projects-is a key social dynamic.

Community investment of approximately $50 million was made in 2024

Gerdau's commitment to its operating communities is substantial, focusing on immediate relief and long-term development. In 2024, the company made a significant, specific donation of R$ 51.4 million (approximately $9.53 million, using the 2024 average exchange rate of 5.3937 BRL/USD) for reconstruction projects in regions impacted by a natural disaster. The Helda Gerdau Institute, an associated entity, contributed an additional R$ 20 million.

Here's the quick math: that's a direct corporate and affiliated contribution of over R$ 71 million in a single year to support housing, infrastructure, and entrepreneurship. This kind of targeted, non-CAPEX social investment builds crucial social capital, which you defintely need when operating large industrial facilities.

Strategic pillar focuses on Diversity, Equity, and Inclusion (DE&I) progress

Diversity, Equity, and Inclusion (DE&I) is a formal strategic pillar, not just a human resources footnote. The company has set clear, quantifiable targets for 2025, which are tied directly to senior executive compensation-a strong governance signal. Around 20% of the long-term bonus for senior management is conditioned on meeting these ESG targets, including the percentage of women in leadership positions.

The company is making steady progress toward its 2025 goals, as detailed below:

DE&I Metric	Target by 2025	Achieved in 2023	Progress to Target
Women in Leadership Positions (Global)	30%	26.1%	3.9 percentage points remaining
Black People in Leadership Positions (Brazil)	30%	27.6%	2.4 percentage points remaining
People with Disabilities (PwD) in Workforce (Brazil)	5%	N/A (Target set)	Ongoing recruitment focus

They are within striking distance of their two main leadership targets, which shows the incentive structure is working. This focus on inclusion is critical for attracting talent in competitive markets like the U.S. and Canada.

Labor market trends impact skilled workforce availability for digital transformation

The steel industry's shift toward Industry 4.0-integrating technologies like Artificial Intelligence (AI) and automation-is creating a significant skills gap. Labor market trends for 2025 show that 86% of employers globally expect AI and information processing technologies to transform their business by 2030. For a heavy industry like steel, this means the demand for traditional operational roles is declining, while the need for specialized technical skills is soaring.

This is a major risk: the company needs to reskill its existing workforce and compete for a small pool of new talent. Gerdau is addressing this through its innovation arm, Gerdau Next, which focuses on strategic clusters like technology. The immediate actions required are massive upskilling programs to prevent a bottleneck in digital adoption. Automation will displace an estimated 85 million jobs globally by 2025, but it simultaneously creates 97 million new roles in areas like data analysis and machine learning. Gerdau must capture those new roles internally.

• Prioritize reskilling for automation-resistant roles.
• Recruit AI specialists and data analysts aggressively.
• Integrate digital literacy into all operational training.

Gerdau S.A. (GGB) - PESTLE Analysis: Technological factors

Gerdau's technological strategy is defintely a core competitive advantage, centering on a high-efficiency, low-carbon production model and aggressive digitalization. The company is mapping its near-term future with a major investment cycle that focuses on Industry 4.0 concepts like Artificial Intelligence (AI) and advanced connectivity, which is a clear action to mitigate future operational risks and seize efficiency gains.

R$6 billion investment cycle (2025-2027) targets digitalization and AI.

You need to see the technology spend as a strategic pivot, not just maintenance. Gerdau announced a new investment cycle of R$6 billion in February 2024, with a significant portion of the execution scheduled for the 2025 fiscal year. This capital is not just for keeping the lights on; it is specifically earmarked for asset maintenance, expansion of energy efficiency, and critically, the digitalization of operations and the application of artificial intelligence (AI) across its plants in Brazil and the United States.

Here's the quick math: a chunk of this R$6 billion is funding the shift to a smarter, more automated production chain. This investment is designed to drive operational efficiency, which is a non-negotiable in a cyclical industry like steel.

Expansion of dedicated 4G and 5G networks at the Ouro Branco plant.

The foundation for this AI and digitalization push is connectivity. Gerdau completed the implementation of a private, dedicated 4G and 5G network at its massive Ouro Branco plant in Minas Gerais in 2024, making it a pioneer as the first company to have a large-scale private network in the Latin American steel sector. This is a big deal.

The combined capacity of this private network now reaches 4.8 Gbps, which is the pipe needed to run real-time data analytics, remote-controlled vehicles, and digital twins (virtual models of physical assets). This high-speed, secure network allows for the deployment of thousands of Internet of Things (IoT) sensors, translating raw operational data into actionable insights for production planning and predictive maintenance.

High reliance on Electric Arc Furnace (EAF) technology for scrap-based production.

Gerdau's core technology is its Electric Arc Furnace (EAF) model, which is fundamentally a cleaner, more flexible, and more sustainable way to make steel than the traditional blast furnace route. This is a crucial technological differentiator in the 2025 market, where environmental, social, and governance (ESG) metrics are paramount.

The company reports that 71% of the steel it produces already comes from recycled material (scrap), a rate significantly above the global average. To secure this low-carbon feedstock, Gerdau invested US$60 million in November 2024 to acquire Dale's Recycling, adding five units in Tennessee and one in Kentucky to reinforce the scrap supply chain for its North American EAF mills.

What this EAF reliance hides is the risk of scrap price volatility, but the technological advantage of lower carbon emissions is a clear long-term opportunity.

Technological Metric	2025 Fiscal Year Data / Status
Total Investment Cycle (R$)	R$6 billion (Execution in 2025, announced Feb 2024)
Scrap-Based Steel Production Share	71% (From recycled material)
New HRC Line Investment (R$)	R$1.5 billion (Ouro Branco, commissioned March 2025)
Ouro Branco Private Network Capacity	4.8 Gbps (Combined 4G/5G)
Scrap Chain Acquisition (US$)	US$60 million (Dale's Recycling, Nov 2024)

New hot-rolled coil (HRC) line commissioned in Brazil in March 2025.

A concrete example of the capital expenditure (CapEx) is the new hot-rolled coil (HRC) production line commissioned in March 2025 at the Ouro Branco plant in Minas Gerais. This investment amounted to approximately R$1.5 billion (or $260 million).

This expansion increases the plant's HRC annual capacity by 250,000 tons, bringing the total HRC production capacity at the site to 1.1 million tons per year. This capacity is primarily aimed at supplying the high-specification steel needs of the automotive industry and machinery and equipment manufacturers in Brazil, a clear move to capture higher-value market segments.

• Commissioned new HRC line in March 2025.
• Increased HRC capacity by 250,000 tons annually.
• Total HRC capacity now 1.1 million tons per year.

Gerdau S.A. (GGB) - PESTLE Analysis: Legal factors

Company calls for urgent government action on anti-dumping claims.

You can't talk about the steel industry's legal landscape without starting with trade defense. Gerdau is fighting a two-front war against cheap imports. In its home market of Brazil, the company is pushing hard for the government to take immediate, effective action against what it calls unfair competition, mainly from Asian imports. The import penetration rate in Brazil hit a critical high of 26.0% in Q2 2025, which is putting immense pressure on domestic pricing and margins.

Honestly, the government's response has been slow, citing inflationary risks for other industrial sectors. So, Gerdau's management is skeptical that broad measures like a short-term import tax increase to 25% will be applied quickly. This forced the company to take legal control: it is preparing an anti-dumping investigation request against Chinese and other Asian long and flat steel importers. A specific decision on such a claim takes an average of 18 months, which is defintely a long time to wait for relief.

In the U.S., the company is part of a collective effort, the Rebar Trade Action Coalition (RTAC), seeking the imposition of anti-dumping (AD) and countervailing duties (CVD) on rebar imports from countries like Algeria, Bulgaria, Egypt, and Vietnam. The trade case investigations began in June, with preliminary AD/CVD rates expected to be set in November 2025.

US trade policies, like Section 232 tariffs, directly affect North American margins.

The U.S. trade policy environment has been a massive legal tailwind for Gerdau's North American operations, but it creates a complex geopolitical risk. By April and June 2025, U.S. Section 232 tariffs on steel and aluminum imports for many countries were lifted to 50%, effectively shielding domestic producers. This is a huge advantage.

The tariffs directly translated into financial performance. In Q1 and Q2 2025, Gerdau's U.S. and Canadian operations contributed a historic high of 61.4% of its consolidated adjusted EBITDA. That's the engine of the company's profitability right now. The disparity is stark; while U.S. steel prices have risen, Brazilian steel prices fell by 8% year-to-date in 2025. This legal protection in North America is why the company has funneled BRL 1.6 billion in capital expenditures into the region in 2025.

Environmental regulations (like carbon pricing) are tightening globally.

The legal risk around climate change is rapidly shifting from voluntary commitments to mandatory financial liabilities. The European Union's Carbon Border Adjustment Mechanism (CBAM) is the most immediate legal threat to Gerdau's export strategy, especially for products shipped from Brazil.

Here's the quick math: a survey indicates that CBAM will add a tariff of 10.76% for every dollar in iron and steel products shipped from Brazil to the EU. While the financial charge is scheduled for January 1, 2026, the obligation is accumulating now. To mitigate this, Gerdau is accelerating its green steel projects and relying on its North American operations, where all units use scrap-based electric arc furnace technology, a route exempt from CBAM.

Gerdau's legal and strategic response is clear:

• Reduce GHG emissions to 0.82 t/CO2e per tonne of steel by 2031.
• Invest BRL 3.2 billion by 2026 in low-carbon technology in Brazil.
• Monitor the potential impact of a mandatory carbon pricing system currently being analyzed in Brazil.

Compliance risk rises with operations spanning multiple jurisdictions (Brazil, US, etc.).

Operating across multiple jurisdictions-Brazil, the U.S., Canada, and other South American countries-means Gerdau is subject to a complex and overlapping web of anti-corruption, antitrust, and environmental laws. Non-compliance risks include fines, criminal penalties, and prohibitions on participating in public biddings.

Key legal frameworks creating compliance risk include the U.S. Foreign Corrupt Practices Act (FCPA) and the Brazilian Anti-Corruption Law (Law 12,846/2013). Moreover, new air quality and atmospheric emissions regulations in Brazil became effective in 2025, requiring changes in management, monitoring, and reporting practices. To address this, Gerdau has recently updated several critical internal legal documents.

The following table shows the recent updates to key legal and compliance policies in 2025:

Policy	Last Update Date	Jurisdictional Relevance
Compliance Policy	April 3, 2025	Global (Brazil, US, Canada, etc.)
Anti-Corruption Policy	April 3, 2025	Global (FCPA, Brazilian Law 12,846/2013)
Tax Policy	April 3, 2025	Global
Bylaws	May 30, 2025	Brazil (Primary Listing)

This level of policy overhaul shows the company is taking the rising complexity of cross-border legal risk seriously. You have to. One clean compliance breach can wipe out months of margin gains.

Gerdau S.A. (GGB) - PESTLE Analysis: Environmental factors

Goal to achieve carbon neutrality for operations by 2050

You're looking at a steel company, so the first thing you need to assess is their decarbonization roadmap. Gerdau S.A. has a clear, long-term commitment to achieve carbon neutrality for its entire operations by the year 2050. This isn't just a distant promise; it drives their capital expenditure (CAPEX) decisions right now.

This goal is particularly significant because steel production is historically one of the most carbon-intensive industries. The company's strategy leans heavily on its existing low-carbon production model-Electric Arc Furnaces (EAFs)-and massive investments in renewable energy to offset the remaining emissions.

Target to reduce greenhouse gas emissions to 0.82 t/CO2e per tonne by 2031

The near-term, actionable target is what matters most to an analyst, and Gerdau S.A. has a precise one. They aim to reduce their greenhouse gas (GHG) emissions intensity to 0.82 t/CO2e per tonne of steel produced by 2031. Here's the quick math on their current position:

The company's current average GHG emission intensity is already low for the global sector, sitting around 0.91 tCO2e/tons of steel produced. This is a competitive advantage they are working to expand. Hitting the 2031 target means a further reduction of over 9% from the current level, which defintely requires continuous technological upgrades and energy matrix diversification.

Metric	Current Value (Approx. 2025)	Target	Target Date
GHG Emissions Intensity	0.91 tCO2e/tons of steel	0.82 t/CO2e/tons of steel	2031
Carbon Footprint Goal	Low for global industry average	Carbon Neutrality	2050

Largest scrap recycler in Latin America; 70% of steel is scrap-based

Gerdau S.A.'s core business model is a major environmental differentiator. They are the largest recycler of ferrous scrap in Latin America, which is a powerful structural advantage in the market. Recycling scrap metal requires significantly less energy and produces far fewer emissions than using virgin iron ore.

Currently, 71% of the steel the company produces uses scrap metal as its main raw material. This high percentage of scrap-based steel production is the primary reason their GHG emissions intensity is already below the global industry average. They remove obsolete materials from cities, which is a key circular economy benefit, plus they save on raw material costs, which helps the bottom line.

Their commitment to the circular economy extends beyond scrap, too:

• Achieve a water recirculation rate of 97.6% in operations.
• Maintain a forestry base of over 254,000 hectares in Minas Gerais, Brazil.
• Designate 91,000 hectares of this base for biodiversity conservation.
• Commit to expanding the forestry base by 20% over the next five years.

R$1.5 billion clean energy push for solar and biomass projects

The company is putting serious money behind its environmental goals. A cornerstone of their current strategy is a R$1.5 billion clean energy push. This investment is specifically targeting a shift in their energy matrix, moving away from fossil fuels and toward renewable sources.

These investments include solar parks, biomass-powered facilities, and the continued use of Electric Arc Furnaces (EAFs), which are inherently less carbon-intensive. For the 2025 fiscal year alone, approximately R$1.6 billion of their total revised CAPEX of R$5.8 billion is earmarked for projects that deliver environmental returns, which includes the expansion of their forest assets and improvements to environmental controls. That's a significant portion of their capital budget focused on sustainability.

What this estimate hides is the long-term operational savings. By generating their own renewable power, they are hedging against volatile energy prices, securing a competitive cost structure for decades to come. It's a smart financial move disguised as an environmental one.