BEIJING (Reuters) – Brazil has overtaken Belgium as the biggest export market for Chinese new energy vehicles, industry data showed, as Chinese carmakers increase sales to non-European markets amid the European Union’s anti-subsidy investigation into Chinese electric vehicles.
Exports of pure electric and plug-in hybrid cars to Brazil increased 13-fold in April to 40,163 units, making it the largest export market for the second month in a row, according to data from the China Passenger Car Association (CPCA). ).
The surge in exports to Brazil, which was the 10th largest export market in January, anticipates a further increase in tariffs on EVs and hybrid vehicle imports from July as the South American country seeks to boost local car production encourage.
Several Chinese automakers have already started increasing investments for local production in Brazil. BYD has started building a manufacturing complex there to begin local production by the end of the year or early 2025, and Great Wall Motor has said its factory in Brazil will start operating this month.
Brazil also became China’s second-largest export destination for all cars in April, behind Russia, which retained its top spot.
Russia, which is subject to Western sanctions, is expected to remain China’s largest auto export market, CPCA Secretary General Cui Dongshu said.
Spain, France, the Netherlands and Norway were among the countries where imports of Chinese-made electric passenger cars saw the biggest decline in January-April, according to CPCA data.
The EU’s anti-subsidy investigation has disrupted Chinese car exports to the bloc, but the country’s automakers have been actively exploring South America, Australia and ASEAN markets for exports, Cui said.
In the first four months of this year, Chinese car exports to Russia increased by 23% to 268,779 vehicles. Exports to Mexico and Brazil increased by 27% and 536% to 148,705 and 106,448 respectively in the same period.
(Reporting by Qiaoyi Li, Zhang Yan and Kevin Krolicki; Editing by Miyoung Kim and Tomasz Janowski)
