The new species Sauvagesia setulosa (Ochnaceae) is described from campo rupestre vegetation of the Espinhaço range, Minas Gerais, Brazil. The corona-like, fused internal staminodes are key to place the new species within Sauvagesia subsect. Vellozianae, a mostly endemic lineage in the Espinhaço range. The combination of bristle-glandular leaves, terminal, umbel-like inflorescences, and flowers with white petals in S. setulosa are unprecedented in any species of Brazilian Sauvagesia. We present a complete description, illustration, distribution map, and a comparative table to morphologically differentiate the new species from the remaining species of Sauvagesia subsect. Vellozianae that bear terminal, umbel-like inflorescences.