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Understand how the electric car can become cheaper in Brazil

According to Senator Irajá (PSD-TO), the new Bill No. 403 of 2022 could make electric vehicles 10% to 20% more accessible to the final consumer. The paragraph specifies the payment of Import Tax on Electric and Hybrid Vehicles manufactured in Brazil and the benefit will be valid until December 31, 2025. Check out more details on how the electric car can be cheaper with the new measure.

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Understand how the electric car can become cheaper in Brazil

The senator argued that the Brazilian economy depends on the import of parts for the assembly of electric or hybrid vehicles. Therefore, a large part of this equipment is imported from Asia and Europe, and it would be great if Brazil could, in the next three years (project proposal), eliminate the import tax on these equipment.

The impact of this dependency creates a 35% increase in the amount of tax charged on these products sold here. Thus, the competitive value of electric cars in the Brazilian automotive market is much more expensive for the final consumer.

In order to reduce this effect, since 2016, the federal government has reduced or eliminated the tax to encourage Brazilian consumers to buy clean energy vehicles. However, since the beginning of this year, the tax exemption ceased to exist. Senator Irajá also stated that 80% of the Brazilian energy matrix is ​​made up of renewable sources, such as hydroelectric, solar, wind and biomass.

What was the reason for creating the bill?

The main reason is to make the electrified car sector more competitive in Brazil and boost their sales in the domestic market. Due to all these logistical obstacles discussed in this article, and the lack of familiarity with this product in Brazil, it ends up being left behind when it comes to consumers choosing this type of car.

How is the procedural progress of the bill?

If approved by the Economic Affairs Committee, the PL will proceed directly to the Chamber of Deputies, without the need to go through the Senate Plenary.

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