Brazil’s electric vehicle (EV) market saw significant growth in the first quarter, with total sales rising by nearly 40% to 50,074 units. Hybrid electric vehicles (HEVs), including plug-in hybrids (PHEVs), non-plug-ins, and mild hybrids (MHEVs), led the surge with a 70.5% increase compared to the same period in 2024. EVs accounted for 12.5% of total car sales in Brazil, up three percentage points year-on-year.
PHEVs were the most preferred EV option, with 19,530 units sold, marking an 83.6% increase from the previous year. Battery electric vehicle (BEV) sales, however, declined by 8.3% due to concerns over Brazil’s charging infrastructure and the rising popularity of PHEVs, which offer higher fuel efficiency and the flexibility to use gasoline and ethanol.
Chinese automaker BYD strengthened its dominance in Brazil’s EV market with aggressive discounts on HEVs. The company sold 11,710 PHEVs, more than doubling its sales from the previous year, and captured 31.4% of the HEV market. Fiat entered the EV segment in November, selling 7,400 MHEVs to secure a 19.8% market share. Great Wall Motors (GWM) ranked third with 5,880 units sold, holding 15.8% of the market.
PHEVs gained traction even in cities with strong charging infrastructure, such as São Paulo and Brasília, where consumers preferred their electric driving mode and extended range on hybrid power. BYD’s plug-in models boast a driving range of 745 miles on a fully charged battery and a loaded fuel tank.
Despite declining BEV sales, BYD continued its market leadership, selling 9,680 EVs in the first quarter, accounting for 75% of all BEVs sold in Brazil. Volvo followed with nearly 1,200 units sold, while GWM recorded 814 sales. BYD maintained a commanding 42.7% share of the total EV market, followed by Fiat with 14.8% and GWM at 13.4%.
Both BYD and GWM plan to begin manufacturing vehicles in Brazil by the end of the year, with BYD also acquiring mining rights for two lithium sites in the country to streamline its operations. Brazil remains BYD’s largest market outside of China.
