Funding for EV development in Brazil

The Brazilian Development Bank (BNDES) has announced financing for a project by WEG electric motors to develop technology for electric vehicles (EVs). The company will receive US$4.72 million from the Bank, representing 62.3 per cent of the total investment of $7.55 million.
April 16, 2012 Read time: 2 mins
The 6185 Brazilian National Development Bank (BNDES) has announced financing for a project by WEG electric motors to develop technology for electric vehicles (EVs). The company will receive US$4.72 million from the Bank, representing 62.3 per cent of the total investment of $7.55 million.

Whilst the number of EVs in Brazil stands at only 72, the growing national car market suggests a large potential for electric vehicles, including in specialised niche markets. To overcome the slow development of the Brazilian EV market, which is in part explained by Brazil’s fiscal policy and the heavy taxes placed on imported electric vehicles, Brazil will focus on the development of Brazilian made EV components. The BNDES investment in WEG is a key part of this strategy.

The investment will be split between two pathways: electric-drive hybrid research and purely electric traction research. Initially, WEG aims to use the funds to develop a lighter drive-train system, one that is more compact and efficient than those currently available, and to develop a new cooling system that would allow for weight reduction and increased reliability.

Research and development activities will be undertaken primarily at the company headquarters in Jaragua do Sul, Santa Catarina state, Brazil, although project partners such as universities or research institutes may also carry out research. The project is scheduled for completion in December 2013.

For more information on companies in this article

Related Content

  • Winners in electric vehicle batteries
    July 13, 2015
    According to market analyst IDTechEx, which tracks the development of 45 electric vehicle categories and not just electric cars, there are now lithium-ion battery options for everything from forklifts and mobility vehicles for the disabled to e-bikes. Indeed, almost all the e-bikes in the West and Japan use them. 8000 forklifts in the USA have fuel cells with lithium-ion batteries though the Toyota Mirai fuel cell car and the Prius hybrid car still use NiMH. Whilst capturing market in micro hybrid cars,
    Read More
  • Increased use of bio-fuels would enable Finland to achieve EU emissions goals
    June 16, 2014
    Finland’s technical research centre VTT and the Government Institute for Economic Research (VATT) have completed a study commissioned by the Ministry of Employment and the Economy and the Ministry of the Environment, assessing the impact of the EU's 2030 Climate and Energy Framework on Finland's energy system and national economy. The increased use of second-generation bio-fuels in road transport would provide Finland with the most cost-effective way of achieving the greenhouse gas emissions goals presente
    Read More
  • Road user charging - replacing the gas tax with a mileage based fee
    January 19, 2012
    Oregon Department of Transportation's James Whitty discusses his state's progress with VMT fee-based charging. Back in 2001, the state of Oregon stole a lead on the rest of the US when it decided to address the need to do something about the gas tax and its decreasing ability to fund highway construction and upkeep. Recognising that a dwindling pot of money could only shrink further as vehicles became more fuelefficient, Oregon's Legislative Assembly passed laws which led to the setting up, by the state's g
    Read More
  • EV charging station market in the US has grown immensely
    July 27, 2012
    New analysis from Frost & Sullivan says that the electric vehicle (EV) charging station market in North America has grown immensely, helped along by favourable government level (federal, state and municipal) incentives and subsidies for the purchase of EVs. The government is extending these plans to the installation of charging station and funding programmes such as ECOtality's EV project, which is trying to install electric vehicle charging infrastructure in six major states.
    Read More

Highlighted Content