BYD, on Wednesday began selling its electric and hybrid vehicles in Argentina, capitalizing on the government’s decision to lift import tariffs for up to 50,000 such vehicles through 2026. The move marks another step in the company’s growing presence across South America.
The lineup for Argentina includes the all-electric Yuan Pro SUV, the Song Pro plug-in hybrid SUV, and the compact electric Dolphin Mini. Each model is priced under $16,000 before taxes and fees, aligning with the government’s new incentive program that suspends the 35% tariff usually applied to imports from manufacturers outside Mercosur, the South American trade bloc that includes Brazil.
See also: Argentina to Slash Tariffs and Taxes on Electric Vehicles and Motorcycles
Stephen Deng, BYD’s country manager in Argentina, said the company has been granted an allocation to import about 7,800 electric and hybrid vehicles under the current scheme. “We see great potential in the long term for Argentina to develop electromobility,” Deng told Reuters at the launch event, describing the policy as a “tremendous opportunity.”
Local industry experts say the tariff exemption is likely to favor lower-cost Chinese automakers that can rapidly scale imports. “We will see a rebound, demand will finally take off in Argentina,” said Felipe Munoz, a global automotive analyst at JATO Dynamics in Italy.
See also: China Slows BYD, Geely Latin America Plans Amid Trade Concerns
Argentina, the second-largest car market in South America after Brazil, has one of the region’s lowest levels of electric vehicle adoption. Between January and August 2025, just 486 electric cars were sold out of 421,000 total vehicle sales, according to JATO data. Importers have long faced unfavorable exchange rates, which discouraged the sale of imported EVs and pushed consumers toward locally produced combustion-engine cars.
Industry data show that Argentina’s overall auto market grew 60.4% in the first nine months of 2025 from a year earlier, buoyed by lower tariffs and improved credit access. “Amid all these ups and downs, we’ve continued selling vehicles at a more than acceptable pace,” said Sebastian Beato, president of Argentina’s Association of Automotive Dealers (ACARA), in an interview with local media in October.
See also: BYD Begins Production at Brazil Factory as Overseas Expansion Accelerates
BYD’s expansion in Argentina follows its growing investment in Brazil, where it recently opened a new factory. However, the company’s rapid rise has drawn criticism from local industry and labor groups who fear that the influx of Chinese-made vehicles could undermine domestic production and jobs.
Despite its global success, BYD faces increasing competition from rivals such as Geely Auto and Leapmotor. The company reported its first quarterly decline in vehicle sales since 2020, according to a recent filing, underscoring mounting pressures in the fast-evolving global electric vehicle market.