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China Floods Brazil With Cheap EVs Triggering Backlash

  • A large cargo ship carrying a substantial number of affordable electric cars from China recently docked at Brazil's Itajai port, raising concerns among local automotive manufacturers and labor unions.
  • This surge results from Brazil's historically low tariffs on EV imports and China leveraging the open market while other regions raised theirs significantly.
  • Chinese automakers like BYD dominate Brazil's EV market, having shipped over 30,000 vehicles in early 2025 and pledging to build local factories despite delays and labor issues.
  • Brazil plans to raise import tariffs from 10% to 35% gradually by mid-2026, but local industry leaders lobby to accelerate tariff hikes to protect jobs and stimulate domestic production.
  • The flood of cheap Chinese EVs risks stalling Brazil's fledgling manufacturing sector and jobs, raising urgent questions about Brazil’s role as a producer or merely a market for imports.
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quatrostrategies.ca broke the news in on Thursday, June 19, 2025.
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