Chinese EV maker seeks cut while building local plant but other carmakers and regional governors say it could hurt Brazil’s industrial base
Brazil’s government is facing mounting pressure as it decides on a request from Chinese carmaker BYD to reduce import tariffs for a year on semi-assembled electric and hybrid vehicles.
The proposal, now under review by the Chamber of Foreign Trade, or Camex, has sparked a wave of opposition from global carmakers and regional governors who warn it could undermine Brazil’s industrial base and lead to job losses.
The Camex panel, which was meeting on Wednesday, was expected to render a decision shortly.
BYD seeks a 10 per cent tariff on imports of partly assembled vehicles, known in the industry as SKD kits, until July 2026. Tariffs on such imports are 18 to 20 per cent.
