According to a study released by the Brazilian Association of Automotive Manufacturers (Anfavea) on September 27, sales of new all-electric or hybrid vehicles in Brazil are expected to surpass internal combustion engine (ICE) vehicles by 2030.
Brazil is the eighth-largest vehicle producer and the sixth-largest market globally by domestic sales. The study further indicates that by 2040, over 90% of new vehicle sales in Brazil will be electric or hybrid vehicles, a significant increase from the current 7%.
Chinese automakers BYD and Great Wall Motors are major players in Brazil's electric vehicle market. Notably, BYD's sales in Brazil reached 17,291 units last year, and its sales in the first half of this year have nearly doubled to 32,434 units. Both BYD and Great Wall Motors have announced plans to localize vehicle production in Brazil, underscoring their commitment to expanding their influence in the market.
In contrast, traditional automakers from the United States and Europe are lagging behind their Chinese counterparts in Brazil's electric vehicle sector. However, companies like General Motors and Stellantis are striving to capture market share by planning the launch of hybrid-flex vehicles in Brazil. These vehicles can run on ethanol, gasoline, or a combination with battery power, highlighting the industry's adaptability to Brazil's unique fuel requirements.
