BYD It continues on the covers with its landing in the region. After unloading more than 5,000 cars in Brazil in one go with his own ship, he has now announced that he will take up to 100,000 hybrid and electric cars before July starts.
The Chinese brand’s decision is motivated because starting July 1, hybrid and electric cars in Brazil will suffer an additional increase in the import tax.
This action seeks keep prices low that it has been having in the neighboring country since the beginning of the year, since this new rate could lead to costs being transferred to consumers. To anticipate this change, BYD wants to reach the figure of 100,000 vehicles imported from China before July.
This volume should be enough to supply the company’s operations in Brazil until the end of the year, at which time local production is expected to begin in Camaçari, in Bahia, in the north of the neighboring country.
Even if storage costs are incurred in Brazilian ports or in distribution centers in different regions of the country, These expenses would be less than the additional cost of the higher taxthey specified on the site Autosport.
This unusual movement is due to the substantial increase in the import tax, which will go from 10% to 18% for electric vehicles and from 12% to 20% for plug-in hybrids starting in July. Non-externally rechargeable hybrids, a category in which BYD does not participate, will have a 25% rate
An unprecedented volume
According to sources close to the brand, between January and May of this year, BYD imported approximately 30,000 vehicles to Brazil, of which 25,000 were already registered in mid-May and 5,500 were recently unloaded at the port of Suape, in Pernambuco.
There are still approximately 65,000 vehicles to arrive within a month to meet the objective. To achieve this, BYD will need to carry out an intense logistics operation to ensure that all vehicles enter the country before June 30 to avoid the tax increase.
According to the Brazilian publication, This operation is already underwayas more than a dozen ships loaded with the brand’s vehicles are scheduled to dock in Brazilian ports in the coming weeks.
Each ship must transport an average of 3,500 units to reach the objective, which implies a very frequent arrival of ships, approximately one every two days. “Our schedule varies. We can receive ships every three days, a week or more. “Everything depends on the calendar,” Leonardo Felippe, BYD’s supply chain director, explained to the media.
Currently, BYD operates in the ports of Suape (PE), Vila Velha (Espirito Santo) and Itapoá (Santa Catarina), using type boats. Ro-Ro, which allow the entry and exit of vehicles with their own wheels and other container cargo ships.
If the Chinese manufacturer manages to import 100,000 cars until July, it will be established a record in Brazil for the largest arrival of imported vehicles in a six-month period. This will also reflect a significant jump in the brand’s results in Brazil. In 2023, BYD registered 18,000 units in the country, and in the first four months of 2024 there have already been almost 22,000.
If BYD manages to sell 100,000 vehicles in 2024, it will not only grow more than five times compared to the previous year, but will also reach the volume of patents that Renault achieved last year in passenger cars. The Chinese brand is already among the ten best sellers in the Brazilian market.
Importing such a large number of vehicles represents a considerable logistical challenge, but will also offer significant savings, allowing the company to avoid passing costs on to customers until production begins at the Camaçari factory.