Summary
- EV sales in Brazil grew by 55% year over year in February 2025
- Brazil sold over 100,000 EVs in 2024, reaching a market share of over 5%
- PHEVs are more popular in Brazil due to its focus on flexi-fuel engines
- BYD remains the dominant brand in the Brazilian EV market
- Brazil’s EV market share has grown steadily but may be impacted by the end of tariff exemptions on EVs
Article
In February 2025, Brazil experienced a 55% year-over-year growth in electric vehicle (EV) sales, breaking multiple records. The country sold over 10,000 EVs for the fifth consecutive month and achieved an EV market share of over 5% for the third month in a row. With more than 100,000 EVs sold in 2024, Brazil has become one of the few countries globally to reach this milestone, positioning itself as the fourth most advanced Latin American country in electrification efforts.
The Brazilian EV market has seen rapid growth, with headlines reporting a 1,100% year-on-year increase in late 2023 and early 2024. While growth has moderated slightly, the market continues to maintain over 5% market share with around 10,000 units sold monthly in an overall market approaching 200,000 units. The focus in Brazil remains on plug-in hybrid electric vehicles (PHEVs), favored due to the country’s emphasis on flex-fuel engines and its large landmass, distinguishing it from the rest of Latin America.
Market share for EVs in Brazil has steadily increased, with expectations of high growth to return as more brands like BYD, Chery, and GWM introduce their BEVs and PHEVs in the coming months. The country’s category for flex-fuel hybrid electric vehicles (HEVs) also plays a significant role in reducing oil consumption. BYD continues to dominate the market, commanding a large share of the BEV and PHEV market, with other brands striving to establish their presence in the growing EV market in Brazil.
Brazil’s electric vehicle market growth trajectory has been impressive, with market share increasing from 0.8% three years ago to 5.6% in February 2025. However, the pace of growth has somewhat slowed, partially attributed to the end of tariff exemptions for EVs, leading to increased vehicle costs. The importance of locally produced EVs is highlighted, with Chinese manufacturers facing delays in production but showing commitment to establishing manufacturing operations in Brazil.
Despite challenges, the optimism for the future of EV adoption in Brazil remains high, fueled by recent sales records and market share milestones. The transition towards electrification is set to experience a second wave of rapid growth with the eventual start of local production and the introduction of new EV models. As Brazil strengthens its position as a leader in EV adoption in Latin America, the country is expected to influence neighboring countries’ shift towards electric vehicles.
Looking ahead, Brazil’s role in fueling EV adoption in Latin America is crucial, especially as the country transitions to locally produced electric vehicles. The impact of Brazil’s electrification efforts extends beyond its borders, potentially influencing neighboring countries to accelerate their adoption of electric vehicles. As the country continues to pave the way for a greener future, the importance of Brazil in the regional electrification landscape is undeniable.
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