The most affected sectors are those such as aluminium and steel, which lose global competitiveness.

In the analysis of the Brazilian Aluminum Association (Abal), energy cost and weight of the taxes made the country unattractive to new investments in aluminum smelters.

“If nothing is done, Brazil should repeat what happened with Australia and become a producer of raw material, bauxite and an aluminium importer. But no country that aims to develop can dispense with its basic industries,” said Abal president Adjarma Azevedo.

Canned recycling group Abralatas director Renault Castro, said: “We are expanding production capacity, because there is an increasing consumption of canned drinks.

“Improving the competitiveness of the industry generates income for the country because it stimulates exports and create jobs,” he said.

“It is ironic we have the third largest reserves of bauxite in the world and a competitive barrier that prevents us from being major producers of aluminium,” he added