Chinese EVs Drive Latin America’s Electric Boom
When Peruvian entrepreneur Luis Zwiebach set out to buy an electric car in 2019, he had to travel nearly 4,000 miles to California to test-drive a Tesla Model 3. At the time, Tesla had no official presence in Peru, and strict import rules made buying one a challenge. Undeterred, Zwiebach tracked down a used Tesla imported by another buyer — and purchased it.
Charging it, however, proved difficult. At a friend’s beach house outside Lima, the car refused to charge due to a lack of grounding. “We grabbed a fork, stuck it into the soil to make a ground — and the car charged,” Zwiebach recalled with a laugh.
Today, electric vehicles (EVs) are much easier to find in Peru. While Tesla still lacks a local showroom, Chinese brands such as BYD, Geely and GWM have surged into the market, offering EVs for around 60% of Tesla’s price. Established automakers including Toyota, Kia and Hyundai have also expanded their electric offerings.
China Expands Its Footprint Across the Region
EVs remain a small share of Peru’s market, yet growth is rapid. Between January and September, 7,256 hybrid and electric vehicles were sold — a 44% increase compared with last year, according to the national automotive association. The opening of the Chinese-built Port of Chancay, north of Lima, has been a game-changer, cutting trans-Pacific shipping times in half and enabling a flood of affordable Chinese cars into South America.
BYD plans to open its fourth dealership in Lima by the end of the year, while Geely and Chery already operate more than a dozen outlets across Peru. “The electric car is doing very well here; more than two new cars are sold every day,” said Zwiebach, who has expanded his renewable energy business to include EV charger installations.
The Regional Rise of Chinese EVs
Across Latin America, Chinese carmakers are capturing significant market share. In Chile, Chinese brands accounted for nearly 30% of all new car sales in early 2025. In Uruguay, BYD is now the third-largest seller across all vehicle types, and in Brazil, the company leads electric car sales.
EV adoption is accelerating fast. According to the International Energy Agency’s Global EV Outlook 2025, EV penetration in Latin America doubled this year to about 4%. Market share reached 10.6% in Chile, 9.4% in Brazil, and 28% in Uruguay — record highs for the region.
Chinese firms have achieved this growth by offering affordable, well-equipped models through trusted local importers. Dealers across the region say the companies have adapted vehicles to suit local preferences and climates. In Uruguay, prices for BYD battery electric cars start at around $19,000, making them accessible to a wider range of buyers.
Ports and Production Boost China’s Reach
The Port of Chancay has become a key hub for Chinese car exports, with up to 1,200 vehicles arriving per ship. Cars unloaded there are distributed not only within Peru but also to Chile, Ecuador and Colombia. Cosco Shipping, which operates the port, expects 19,000 vehicle arrivals from China by year-end.
Elsewhere, Chinese firms are establishing factories to overcome tariffs. BYD began assembling EVs in Brazil’s Bahia state in October, while Great Wall Motors has repurposed a former Mercedes-Benz plant for production. These investments are intended to strengthen regional trade links and reduce dependency on imports.
However, the influx of Chinese cars has sparked some pushback in Brazil, where labour groups argue that manufacturers are exploiting low tariffs rather than creating local jobs. The government is reintroducing import duties on foreign EVs, which will reach 35% by mid-2026.
Despite these challenges, Chinese brands continue to strengthen their foothold. With shipping routes now streamlined and factories opening across the continent, South America is fast becoming a central battleground for global electric mobility.
As Zwiebach put it, “The car costs less to run and never needs to go to the service garage.” For many in the region, that may be reason enough to go electric.
with inputs from Reuters
