The combination of public policies that are friendly to electromobility and entrepreneurs focused on democratizing access to these vehicles explains the Uruguayan country's leadership in the region.
It's official. Uruguay is the country with the largest presence of light electric vehicles in Latin America. This was revealed by the Latin American Energy Organization (Olade) in a report published last week. At first glance, the 5,950 electric cars circulating in the Uruguayan nation are no match for the 152,493 units in Brazil or the 36,887 in Mexico.
In fact, Uruguay is only ranked sixth in the regional top 10. However, the country reaches 17.4 units per 10,000 inhabitants, a figure that places it in second place in terms of electrified vehicles per capita, only surpassed by Costa Rica (34.3 units per 10,000 people).
PUBLIC POLICIES: THE FIRST KEY
We said that Uruguay has rates that are far from those registered in China (241.4), Europe (183) and the United States (72.4), but much higher than the Latin American average of 3.8 units. In this sense, public policies played a key role in the country's electromobility: since 2015, the government has exempted electric cars from the general tariff rate of 23%.
Only a 5% consular fee is applied to the purchase price. In addition, the registration of these units has a 50% discount on the value. These are incentives that have facilitated the import and purchase of electric vehicles in this nation of three million inhabitants. On the other hand, the National Administration of Power Plants and Electric Transmissions (UNE) has invested in the expansion of the charging infrastructure.
Currently, Uruguay has 347 charging points and 40% have fast charging. The next goal is to convince the private sector to contribute to the growth of the network in the coming months.
But it is in the marketing of vehicles where local entrepreneurs have taken the reins. A clear example is Trike, a company founded in 2018 that imports and sells a diverse range of electric vehicles that seek to adapt to urban and light-load mobility.
According to Fernando Miraglia, co-founder of Trike, when they decided that China would be their main import market due to the widespread use of electric and economical cars in the country, they noticed the keys to their success.
“In China, people buy this type of mobility because they think mainly about their daily transportation: going to work, taking the children to school, shopping at the supermarket, and for that, they need little mileage. So, according to a cost-benefit vision, people don't need more than a city car for that and they adopt electric vehicles for a personal investment,” Miraglia told AméricaEconomía .
In this way, Trike applies the same logic in Uruguay, targeting electric vehicles at a public of working people who cannot afford a more expensive car or who need a second form of mobility for their family.
Under this premise, Trike's portfolio includes models such as AMY, a family car at US$9,980; the M1, a coupe at US$11,980; the Tricoco, a tricycle at US$1,980; the Eco Van, a truck at US$10,980, among others. It is worth noting that the company allows financing the cost of each unit in up to 60 installments.
“We offer this financing through BBVA and people pay through the indexed unit. It is a system that works with different products, whether it is inflation or the value of the dollar. Let's say that it is a very balanced way in case any of these components go through the roof. Most of our buyers acquire their vehicles through this means,” explains Miraglia.
THE VALUE OF ELECTROMOBILITY
The co-founder of Trike says that any entrepreneur interested in getting into electromobility should witness the work of their suppliers. “We travel to each of the factories in China, talk to their owners, evaluate the products they use and after the study, we ask them for exclusivity for the first negotiations. In this way, we ensure certain levels according to the quality-price equation, certain levels regarding product quality and post-sale response.”
Thanks to these agreements, Trike can supply original spare parts in case the vehicles are involved in accidents. Furthermore, the models have been approved by the European Economic Community (EEC) in terms of safety. Furthermore, they do not emit polluting gases or produce noise and are connected to the domestic 220V current. Meanwhile, their maintenance does not require changing filters, lubricants or timing belts.
Looking to the future, Miraglia does not rule out expanding Trike's presence to other countries in the region, although not for commercial purposes for now. “Many factories encourage us to open the market internationally, but coordinating the necessary times to promote this is a bit complex. But we are perfectly able to advise those who are interested in the business in any Latin American country,” he says.
The Trike case thus demonstrates how electromobility in Latin America is taking root in societies with sensible public policies and entrepreneurs who are committed to democratising access to electric vehicles and their charging networks.
