The federal government announced on Wednesday the anticipation of the return of the full tax rate of import tax of 35% on Kits of parts used in the assembly of electrified vehicles, partially serving the claim of the automakers installed in the country.
Increased tax for so-called CKD (Completely Knoocked Down (CKD) and SKD (Semi Knocked Down) electrified vehicles will be applied from January 2027, anticipating the date initially scheduled for July 2028, as a statement from the GECEX-CAMEX Chamber of Trade Management Committee.
Currently, the rate applied to the segment is 14%, according to information from the Ministry of Development, Industry and Commerce (MDIC).
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However, the collegiate decided to grant additional zero rate import quotas to CKDS and SKDs from electrified vehicles for six months, totaling US $ 463 million, as released by the agency.
Chinese manufacturer BYD had requested the temporary reduction in import tax on these kits, as it generated criticism from the established automakers in Brazil, such as Toyota, Volkswagen, General Motors and Stellantis.
These companies warned, in a letter to President Luiz Inacio Lula da Silva, that a possible incentive to import dismantled vehicles for assembly in the country could compromise the sector’s investments in Brazil.
