Study Shows Hybrid and Electric Car Sales to Outpace Market in Brazil by 2030, According to Reuters

SAO PAULO – A recent study from the automakers association Anfavea indicates that sales of new fully electric and hybrid vehicles in Brazil are projected to surpass those of combustion-engine vehicles by 2030.

SIGNIFICANCE OF THE STUDY

Brazil ranks as the eighth-largest car producer globally and the sixth-largest domestic car market by sales. This data was shared by Anfavea earlier this year, reflecting figures compiled from local sources and the International Organization of Motor Vehicle Manufacturers for 2022.

KEY FINDINGS

The Boston Consulting Group, which conducted the study for Anfavea, predicts that by 2040, fully electric and hybrid car sales might account for over 90% of Brazil’s domestic market. This is a significant increase from the current figure of just 7%.

ADDITIONAL CONTEXT

Chinese automotive companies, such as BYD and GWM, currently import electric vehicles for sale in Brazil and are key players in the local electrified car segment. Both companies have announced plans to commence local manufacturing.

In contrast, traditional U.S. and European automakers have found themselves lagging behind their Chinese counterparts in the Brazilian EV market. However, companies like General Motors and Stellantis have begun revealing intentions to introduce hybrid-flex vehicles that can operate on either 100% ethanol or gasoline, in addition to electric power, within Brazil.