Brazil to resume import tax on electric, hybrid vehicles

BRASILIA: Aimed at spurring the country's automotive industry development, Brazil, Latin America's biggest economy, will resume levying taxes on imported electric and hybrid cars,

It is aimed to help develop the sector's productive chain and speed up the reduction in carbon dioxide emissions from Brazilian-made vehicles, Brazil's Ministry of Industry, Development, Trade and Services said in a statement Friday, Xinhua news agency reported.

The tax will resume in January, 2024 and be gradually increased until it reaches 35 per cent of the value of imports in July, 2026

The measure was approved by Brazil's Foreign Trade Chamber (Camex).

According to state-run news agency Agencia Brasil, Camex also decided to reinstate the import tax on 73 chemical products, which was cut by 10 percent in May of last year.