Brazil’s Auto Market Records Strong February Growth Amid Rising Chinese Presence
Brazil’s automotive sector showed robust growth in February 2025 with new vehicle sales climbing nearly 12% compared to February 2024, according to data from Fenabrave.
The market registered 184,964 new vehicles last month, representing an 8% increase from January figures. February 2025 marked the best performance for the month since 2020.
Sales in the first two months of 2025 reached 356,179 units, a 9% increase compared to the same period last year. Bus registrations grew remarkably by 39.6% in this two-month period.
The motorcycle segment also showed strong momentum with 155,954 units registered in February. This represents a 14.4% increase compared to February 2024 and contributes to a 10.1% growth in the first two months.
Chinese automaker BYD secured the ninth position among best-selling car brands with 5.17% market share. The company currently sells only imported vehicles while constructing its manufacturing facility in Bahia. BYD dominated Brazil’s electric vehicle market with an 81.1% share in January 2025.
Growth of the Electric Vehicle (EV) Market in Brazil
The EV segment continues to grow in Brazil, expanding by 24.1% to reach 4.09% of total vehicle sales. Chinese automakers now account for 89% of EVs sold in Brazil, reflecting their growing influence in the market.
Industry tensions persist as Anfavea, supported by autoparts manufacturers, advocated for earlier reinstatement of full import taxes. This followed BYD’s delivery of over 5,500 imported vehicles to Brazil.
The outlook for 2025 remains positive despite economic challenges. Anfavea projects an 8.4% increase in light vehicle production to 2.58 million units. Total production, including commercial vehicles, should reach 2.8 million units.
According to Márcio de Lima Leite, Anfavea’s president, maintaining growth momentum despite rising domestic interest rates remains the major challenge for 2025. However, the positive trends in the first two months suggest Brazil’s auto market may reach decade-high levels.
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