1st ICAI 2020

International Conference on Automotive Industry 2020

Mladá Boleslav, Czech Republic

car with internal combustion, whose efficiency is low, which remains stationary most of the time and which loses value very quickly. The greater efficiency of electric vehicles makes them “machines”, which will be used to the extreme so that the payback occurs quickly, as it does today with airplanes. 5. What is the best technology that suits Brazil? There is no exact answer to that question. Countries like Norway and Japan, where purely electric vehicles dominate the market share of new registrations, which does not occur in the Netherlands and the United States, countries in which, among electric, hybrids are most of the sales of new vehicles. Among the factors that explain these differences, we highlight the targeting of incentives that favor a given model more than the other, in addition to the decarbonization needs of each country, the structure of its electrical matrices and, finally, the profile of car consumers in each location. Thus, it is up to the central planner to determine which technology would be most advantageous to be developed in Brazil. As the country already has an advanced and developed biofuel industry, this comparative advantage must be considered. Thus, the development of hybrid electric flex cars, gasoline and ethanol, or of electric cars using the ethanol fuel cell are interesting possibilities for the country. In a moment of transition, the flex hybrid would serve the role of electrifying the national vehicle fleet, which would eventually evolve to electric vehicles using the ethanol fuel cell. In this scenario, Brazil would also have an important role as a developer and disseminator of these electric car technologies, which are under development. This is an opportunity for the country that must be considered (Millkin, 2016). In addition, Brazil can act in other ways for the arrival of the electric car. One of them refers to taxation, which could be changed to link the Tax on Industrialized Products (IPI) rate to the emissions and energy efficiency of the automobile. At this time, the IPI for gasoline and flex vehicles varies between 7% (engine capacity up to 1.0) and 25% (engine capacity above 2.0 powered by gasoline only). Electric cars pay a full rate of 25%, but thanks to the Inovar-Auto program, they can have a reduction in this value of up to 2 percentage points. Inovar-Auto ends at the end of 2017. Therefore, this is an opportunity for the country to review the IPI tax on electric cars (United Nations, 2016). The planner can assist in demystifying the electric car, either with educational campaigns, or by introducing electric cars in government fleets, or by encouraging electric cars in taxi fleets and shared transport. Thus, the consumer can, little by little, and in specific segments, get to know electric cars. The establishment of rules that will regulate the use of the supply infrastructure are also initiatives that are already being taken by the regulator and that will assist in the development of the electric car in Brazil. 6. Conclusion In short, the whole world has been changing its way of consuming cars, which are increasingly becoming a means of mobility rather than an investment good. Even in Brazil, this behavior is expected to change. In addition, in a few years, electric cars will cost as much as conventional cars. Therefore, as they are more technologically

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